Scaling Local Solutions Through Private Investment in Conservation
Rare takes what works locally and scales it for global impact. There are long-term benefits for fishers and farmers, consumers and the enterprises along the supply chains in between that come from transitioning to sustainable practices. In the short term, however, the transition can prove economically challenging.
Rare’s Sustainable Markets and Innovative Finance group offers a suite of investment vehicles that deploy private capital and public finance towards managing underserved natural resources, converting enterprises to sustainable business models, and financing stakeholders willing to participate in relevant value chains. These investments create value for communities that transition to sustainable behaviors, produce measurable conservation impacts, and generate commercial financial returns for investors.
By combining innovative finance with our community engagement expertise, Rare is uniquely positioned to scale conservation solutions in the key areas of coastal fisheries, watershed conservation, and sustainable agriculture—and as a result, contribute to our long-term goals of improving ecosystem health, climate resilience, food security, and the incomes of vulnerable communities in the developing tropics.
Rare’s proven conservation solutions are built for scale. Our innovations in conservation finance ensure the funding is there.
Blending Finance for Long-term Sustainability
Scaling Rare’s solutions requires more than philanthropy. Rare’s Blended Finance initiative catalyzes investment from both the public and private sectors to sustainably finance natural resource management. The case for deploying capital from these sectors, which will total billions of dollars, depends on achieving blended values—both financial and non-financial—that are meaningful to those who contribute capital. By understanding the costs and benefits of scaling Rare’s work in coastal fisheries, clean water, and sustainable agriculture, Rare can calculate the benefits to people and nature and facilitate providing blended capital to finance and scale long-term management of these natural resources.
Rare sees blended finance as the strategic use of philanthropy and concessionary capital to mobilize public and private investment to achieve measurable development and conservation outcomes at scale.
Rare has moved quickly to build a compelling approach for investment in conservation and JPMorgan Chase is proud to support its innovative efforts.”Matt Arnold, Global Head of Sustainable Finance, JPMorgan Chase
The Meloy Fund: Impact Investing for Conservation
The Meloy Fund is a first-of-its-kind impact fund investing in fishing-related enterprises that support sustainable coastal fisheries in the Philippines and Indonesia. The Meloy Fund represents a portfolio of investments that offers significant conservation impacts while generating financial returns.
Accelerating Behavior Change through Economic Incentives
For fishers and farmers alike, there are long-term benefits that come from transitioning to sustainable practices. In the short term, however, when fishers and farmers transition from unsustainable to sustainable methods, they incur economic costs as well as reduced or unstable incomes from, for example, a reduction in catch quantity. Financial incentives bridge financial gaps and accelerate the adoption of sustainable behaviors.
Rare is cultivating a range of private- and public-sector partnerships and investment vehicles that create value for communities and generate conservation impacts as well as financial returns for investors.
Increasing the Value of Natural Resources
Rare is working with private-sector partners and local organizations to design, test, and scale multi-local interventions in the agriculture and fisheries sectors. These interventions help increase the value of natural resources and ensure that a portion of that accrues to local communities. By reducing waste, increasing efficiencies, adding value to commodities, and improving supply chains, fishers and farmers can achieve more value per unit and therefore make better decisions about long-term commitments to sustainable resource management.
In the Philippines, for example, fishers received a 20 percent premium from top hotels and restaurants for harvesting their catch responsibly. In Indonesia, Rare helped seaweed farmers improve quality and yields, leading to a doubling of incomes in less than a year. These projects and others help finance the transition to sustainable behaviors; and they can lead to greater incomes for communities, as well as encourage resilience to climate change and protect biodiverse ecosystems over time.
For more information on Conservation Finance at Rare, please call 703-522-5070 ext. 146 or email email@example.com.