How to invest in nature and climate in Panama

Panama is a country that is facing the impacts of climate change and nature loss, but also has a great potential to become a leader in natural climate solutions (NCS).

NCS are actions that conserve, restore, or enhance natural ecosystems to remove and store carbon from the atmosphere. They can also provide many other benefits, such as supporting biodiversity, improving water quality, and enhancing livelihoods.

Panama has a plan to go green and reforest 1 million hectares by 2050, which is supported by the World Economic Forum and other international partners. This plan will help the country protect and restore its rich natural capital, which includes tropical forests, mangroves, wetlands, and coral reefs.

Panama is also part of the Natural Climate Solutions Alliance, a global initiative that promotes the use of NCS carbon credits as a way to finance nature-based solutions and achieve net-zero emissions. NCS carbon credits are verified emissions reductions or removals from NCS projects that businesses can buy and sell in the voluntary carbon market. By purchasing NCS carbon credits, businesses can compensate for their unavoidable emissions and support projects that reduce or remove greenhouse gases.

According to a report by McKinsey and the World Economic Forum, NCS can provide one-third of the climate mitigation needed by 2030, and at a lower cost than other forms of carbon dioxide removal. NCS are also essential for reaching net-zero emissions, as they can remove carbon dioxide already in the atmosphere.

Therefore, investing in NCS projects in Panama could be a win-win opportunity for businesses that want to support the country’s green transition, meet their corporate climate goals, and contribute to a sustainable future.

If you are interested in learning more about NCS and how they can fit into your climate strategy, you can check out this guide that was developed by the WBCSD – World Business Council for Sustainable Development and the Natural Climate Solutions Alliance. It explains the benefits and challenges of NCS carbon credits, the quality criteria and standards for them, and the best practices and principles for buying and using them.

You can also watch this short and informative video that summarizes the main points of the guide and provides some examples of how businesses are using NCS carbon credits in practice.

We hope that this blog article will inspire you to explore the potential of NCS for your business and join us in supporting nature-based solutions for a better world.

Sources:

• How is Panama tackling deforestation and climate change? | World Economic Forum
• Natural climate solutions are key to mitigation | McKinsey
• Report: Nature and Net Zero | World Economic Forum
• A guide to natural climate solutions for business leaders | WBCSD
• Natural Climate Solutions Alliance – YouTube