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Trust for Nature: Why Conservation Trust Funds (CTFs) are key to a Thriving Planet

October 2, 2025 por Denise Levy Leave a Comment



In today’s world, where we are inundated with information, trust has become a rare asset. Trust in nature`s resilience, in institutions that safeguard our planet, and in one another’s ability to act. Conservation Trust Funds (CTFs) embody this principle by serving as reliable, transparent, and long-term mechanisms to finance conservation.

But CTFs go beyond finance. They are models of integrity and commitment, proving that when trust is built into our choices, policies, and partnerships, real change is possible. By protecting ecosystems through transparent governance and shared responsibility, they remind us that credibility and consistency are the foundations of lasting conservation.

The Inter-American Development Bank (IDB) is a key partner in strengthening these funds across Latin America and the Caribbean (LAC). As a strategic partner of the RedLAC, the regional network of CTFs, the IDB helps connect leaders, reinforce governance, and scale up solutions that ensure conservation, restoration, and the sustainable use of nature in the region.

Strategic catalysts for conservation finance

In a region as ecologically rich and socially diverse as LAC, trust is a strategic option. Over the past 30 years, more than 50 CTFs have been established across the region, many of which have weathered political and economic turbulence while continuing to deliver conservation results. These funds have become pillars of reliability, channeling international public and private resources into national priorities with transparency and long-term vision.

The RedLAC network, which connects 32 funds across 15 countries, has mobilized hundreds of millions of dollars for conservation. It has built a community of practice rooted in shared values, mutual accountability, and trust—between donors, governments, civil society, and nature itself.

Strengthening CTFs is key to nature

With COP16 in Cali behind us and COP30 in Belém approaching, the region is entering a new phase of environmental ambition. But ambition without trust is fragile. That is why the IDB is strengthening RedLAC with the Voluntary Practice Standards for CTFs, a framework that reinforces trust through: (i) harmonized donor requirements; (ii) reduced transaction costs; (iii) transparent and accountable fund management; and (iv) enhanced conservation impact. Leading Funds are already adopting these standards and are helping to professionalize the sector.

The IDB is also supporting CTFs in the region to bridge the biodiversity finance-impact gap that exists in our countries. Despite growing financial commitments, biodiversity outcomes remain uneven. The global biodiversity financing gap is estimated at USD$700 billion annually, and LAC is no exception.

To close this gap, IDB aims to strengthen CTF governance and institutional capacity, adopt results-based management systems, and leverage regional platforms like RedLAC to coordinate efforts and share best practices.

These steps build trust not only in the funds themselves but in the broader ecosystem of conservation actors working toward a common goal.

COP30 in Belém represents a historic opportunity to consolidate the progress made since Cali and to show that commitments translate into measurable actions. RedLAC, together with strategic partners such as the IDB, will continue working to close the financing gap, strengthen stakeholder trust, and scale solutions that place local and Indigenous communities at the heart of conservation. Only with strong and trustworthy institutions can we ensure that ambition is transformed into tangible results for people.

Amazonia: The ultimate test—and opportunity

Amazonia, covering over 8 million km², is home to 10% of known species. It contains the largest river system and tropical forest, producing around 20% of the world’s freshwater. Yet, it is under threat, with 17% of its forest being either deforested or degraded (31%). Protecting this biome is absolutely a regional priority.

CTFs are uniquely positioned to respond. Their ability to mobilize resources, coordinate across borders, and engage Indigenous Peoples and multi-cultural communities makes them ideal platforms for building trust-based conservation strategies in Amazonia.

Through the IDB`s Amazonia Forever regional coordination program, we’re launching a technical cooperation initiative to strengthen Amazonian CTFs within RedLAC.

For over two decades, RedLAC has shown that regional collaboration is a powerful catalyst for innovation in conservation finance. By creating learning communities, fostering knowledge exchange, and strengthening capacities, the network has enabled CTFs to evolve with higher standards of governance and transparency. Today, more than ever, this collective learning is essential to face global challenges such as biodiversity loss and climate change.

This initiative will build credible governance for conservation finance, scaling up the region`s capacity to deliver lasting biodiversity and climate results, besides enabling funds to meet international standards, and unlocking innovative mechanisms like Debt-for-Nature Swaps, which have already mobilized USD$1.6 billion in Ecuador alone.

Together with RedLAC and CTFs of this region, the IDB will contribute to building trustworthy institutions that can steward one of the planet’s most vital ecosystems.

Build the trust you want to see in the world.

CTFs are proof that trust in action can deliver real results – through long-term commitment, transparent governance, and strategic coordination. They remind us that conservation isn’t just about financing; it’s about credibility, consistency, and care.

As the world faces the dual crises of extreme climate events and biodiversity loss, the question is urgent: are we trustworthy stewards of the planet? Do our institutions and our choices reflect the future we aspire to create? Trust is not given – It is earned, every day, through action.

Strengthening CTFs is more than a technical solution. It is a collective responsibility. The RedLAC 2025 Congress in Chile is one more opportunity to show support for CTFs and for the IDB to engage in thematic areas, like financial instruments (e.g., green and blue bonds) that are critical for the sustainability of so many sustainable initiatives taking place right now in our LAC region.

This is our moment to show that ambition can have a measurable impact. Together, let’s build the trustworthy institutions that our region -and our planet– need to thrive.


Sources:

  • https://www.conservationfinancealliance.org/conservation-trust-funds.
  • https://mexicobusiness.news/finance/news/surge-biodiversity-finance-latin-america.
  • https://www.conservation.org/press-releases/2025/07/04/cop30-increasing-funding-for-the-amazon-is-brazil-s-historic-opportunity-to-prevent-global-climate-collapse.
  • https://www.iadb.org/en/news/ecuador-completes-worlds-largest-debt-nature-conversion-idb-and-dfc-support

Filed Under: Ecosystems and Biodiversity, Uncategorized Tagged With: biodiversity

Denise Levy

Denise Levy has extensive experience in environmental and social management issues in Latin America. Her main focus has been on land-use planning and conservation finance, as well as strategic environmental impact assessments. In recent years, the tourism sector has concentrated on coastal and marine protection and sustainable urban development. Before joining the Bank, Denise served as Program Manager for Private Land Conservation at The Nature Conservancy in Brazil. She holds a Law degree from the Federal University of Paraná, a Ph.D. in Public Policy Analysis from the University of Illinois at Chicago, and a Master’s in Environmental Science and Policy from Johns Hopkins University. Denise is currently a Senior Environmental Specialist in the Natural Resources, Agriculture, Tourism, and Disaster Risk Management Division at the IDB.

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This blog is a space to reflect about the challenges, opportunities and the progress made by Latin American and Caribbean countries on the path towards the region’s sustainable development.

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