Ideas to Action:

Independent research for global prosperity

Publications

 

Stock photo of a foggy rainforest
June 14, 2018

The Tropical Forest Finance Facility

A proposal for a pay-for-performance mechanism to finance sustainable development goals and global public goods that maximizes the efficient use of public credit and builds on major technology breakthroughs for measuring results.

Michele de Nevers , Kenneth Lay , Michael Wolosin and Patricia Bliss-Guest
Cover of Policy Paper 125
June 14, 2018

Creating a Multilateral Wealth Fund for a Global Public Good: A Proposal for a Tropical Forest Finance Facility

The Tropical Forest Finance Facility is an attempt to generate significant new finance to fund pay-for-performance incentives for tropical forest conservation. The TFFF proposal includes two key innovations: 1) the way it will raise funds, by converting low-cost sovereign credit from mission-driven investor countries and companies into cash that can be used to drive change in developing countries, through an instrument similar to a sovereign wealth fund; and 2) the way it will distribute funds, using the Cash-On-Delivery aid approach that supports country ownership and only pays for results as they are achieved and verified.

Michele de Nevers , Kenneth Lay , Michael Wolosin and Patricia Bliss-Guest