The Republic of Congo is holding discussions with several European counterparts regarding the possibility of launching a debt-for-nature swap, the country’s Finance Minister Christian Yoko told Reuters on Wednesday.
Speaking on the sidelines of the COP30 climate conference in Belém, Brazil, Yoko explained that the potential agreement would form part of Congo’s efforts to improve long-term debt sustainability while expanding climate-linked financing options.
According to him, the government is already engaging with partners capable of providing the necessary “credit enhancements” that could make such a transaction viable, although the scale and financial value of the deal has not yet been determined.
Yoko noted that a debt-for-nature mechanism is particularly relevant for the Republic of Congo because it is home to a significant portion of the Congo Basin — the world’s second-largest tropical rainforest, which plays a vital role in global climate regulation, carbon storage, and biodiversity conservation.
Debt-for-nature swaps have been gaining global attention as several climate-vulnerable and forest-rich countries explore new ways to restructure liabilities in exchange for stronger commitments to conservation and sustainable land use.
Climate finance analysts say if such a deal materialises for the Republic of Congo, it could unlock additional funding for forest preservation programmes, create new green investment opportunities, and reinforce regional cooperation among Congo Basin nations.
Source:Africa Publicity
