Land Degradation Neutrality Fund

This Fund aims to restore 350 000 hectares of degraded land create or support 70 000 jobs for vulnerable populations and reduce or avoid 25 million tonnes of carbon dioxide equivalent in developing countries. This unconditionally repayable contribution will contribute to the Land Degradation Neutrality (LDN) Fund in Fiscal Year 2020/2021 for an amount of CAD$53.1 million The LDN Fund is a unique investment fund investing in profit-generating sustainable land management (SLM) and land restoration projects worldwide. The LDN Fund leverages private sector finance to provide debt and equity to small and mid-sized companies working in sustainable agriculture forestry and other LDN related sectors like green infrastructure and ecotourism. Through these investments the Fund contributes to achieving land degradation neutrality and climate resilience while improving the physical social and economic wellbeing of marginalized and vulnerable populations particularly women and girls. Canada’s contribution to the Fund also leverages additional private sector investment in sustainable land management demonstrating the viability of this type of blended finance model to support the Sustainable Development Goals. Project activities include: (1) developing and delivering training on gender-sensitive in Sustainable Land Managemant techniques for smallholder farmers including women; (2) providing suitable financing tailored to each project and its final beneficiaries for high-impact projects; (3) tracking and recoding additional private sector investment in developing countries; and (4) supporting gender equality in Land Degradation Neutrality interventions.

The expected outcomes for this project include: (1) increased adoption of gender-responsive Sustainable Land Management (SLM) and environmental conservation practices; (2) increased commercial viability of SLM projects and increased investment in and adoption of gender-responsive SLM practices by financial institutions in vulnerable areas; and (3) increased representation of women in leadership and skilled/technical roles and increased access of women to decision-making land training and finance among smallholders cooperatives and small farming businesses.