Process
The financing mechanism for debt-for-nature swaps is an agreement among the funder(s), the national government of the debtor country, and the conservation organization(s) using the funds. The national government of the indebted country agrees to a payment schedule on the amount of the debt forgiven, usually paid through the nation’s central bank, in local currency or bonds. The process is shown in Figure 1. Participation in debt-for-nature swaps has been restricted primarily to countries where the risk of default on debt payments is high. In these circumstances, the funder can purchase the debt at well below its face value.
Read more about this topic: Debt-for-nature Swap
Famous quotes containing the word process:
“I’m not suggesting that all men are beautiful, vulnerable boys, but we all started out that way. What happened to us? How did we become monsters of feminist nightmares? The answer, of course, is that we underwent a careful and deliberate process of gender training, sometimes brutal, always dehumanizing, cutting away large chunks of ourselves. Little girls went through something similarly crippling. If the gender training was successful, we each ended up being half a person.”
—Frank Pittman (20th century)
“The process of discovery is very simple. An unwearied and systematic application of known laws to nature causes the unknown to reveal themselves.”
—Henry David Thoreau (1817–1862)
“Interior design is a travesty of the architectural process and a frightening condemnation of the credulity, helplessness and gullibility of the most formidable consumers—the rich.”
—Stephen Bayley (b. 1951)