Mr. Kurt Burneo, Alternate Executive Director, Inter-American Development Bank
Mr. Alberto Paniagua, Executive Director, PROFONANPE
Since the 1990s, environmental funds (EFs) have demonstrated their relevance in a number of ways. In the first place, they have become increasingly important in the financial realm. Secondly, EFs have shown to be effective mechanisms within Latin American legal systems, particularly, for having introduced the trust fund mechanism for conservation purposes. And consequently, EFs create a sustainable institutional setup allowing trust funds to maintain their financial strategies for extended periods, exceeding conventional project lifetimes, while developing institutional stability and continuity beyond government administrations.
This presentation will showcase the 20 year experience of a Latin American environmental trust fund which evolved from being a conservation financial mechanism to an institutional catalyst of change.
PROFONANPE, Peruvian Trust Fund for National Parks and Protected Areas created in 1992, is a private non-profit organization which goal is to provide stable and long-term funding for conservation, protection and management of protected areas and zones of influence. PROFONANPE is the first private environmental fund created in Peru. In the last two decades, PROFONANPE has shown great ability to raise funds, totaling US$ 141.4 million from various sources of cooperation, both international and domestic, and nine bilateral debts for nature swaps. Thus, PROFONANPE has become one of the most important financial tools for the conservation of the biological diversity of Peru’s protected areas. This result is closely linked to programs and projects that have emerged as pilot programs for initiatives seeking to catalyze innovation in the management of Peruvian protected areas.