NEET BIOLOGY

Detailed explanation-1: -Debt-for-climate swaps and debt-for-nature swaps seek to free up fiscal resources so that governments can improve resilience without triggering a fiscal crisis or sacrificing spending on other development priorities.

Detailed explanation-2: -Debt-for-nature swaps are typically a voluntary transaction in which an amount of debt owed by a developing country government is cancelled or reduced by a creditor, in exchange for the debtor making financial commitments to conservation.

Detailed explanation-3: -An example of a bilateral swap occurred when the U.S. Government, under the Enterprise for the Americas Initiative, forgave a portion of Jamaica’s official debt obligations and allowed the payments on the balance to go into national funds that finance environmental conservation.

Detailed explanation-4: -Debt-for-nature swaps generally fall into two types: commercial debt-for-nature swaps and bilateral debt-for-nature swaps.