ISLAMABAD: The Ministry of Climate Change has come up with an innovative financing mechanism for Ten Billion Tree Tsunami (TBTT) project by offering debt for nature swap.
Adviser to the Prime Minister on Climate Change Malik Amin Aslam chaired a meeting to devise a mechanism for debt swap with potential countries.
He was briefed by representatives of the UNDP on the proposed mechanism.
After finalisation, the strategy will be presented to the federal cabinet for approval.
Malik Amin appreciated the idea of debt for nature swap and directed the relevant departments to start working on the strategy immediately.
He said Ten Billion Tree Tsunami project will cost Rs125 bn (USD 800 million) and that the Government of Pakistan had allocated an amount of Rs7.5 billion for the current financial year there is a financing gap of USD 754 million over the period of four years.
“This is the golden opportunity to bridge the financing gap for the project of utmost importance,” he said.
“Pakistan has already done this practice for education and rehabilitation sectors in the past with Canada, Germany, Italy, Norway, and Belgium.”
The adviser was informed that many countries in the world had availed the opportunity of debt swapping for nature with Paris Club and others.
Most of these countries belonged to Latin America and Africa.
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