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debt swap
(redirected from debt-for-nature swaps)

   Also found in: Financial 0.01 sec.
debt swap
n
(Economics, Accounting & Finance / Banking & Finance) See swap [4]


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The idea has its roots back in the 1980s, when environmentalists began persuading Western banks to write off some Latin American debt in return for those countries agreeing to preserve tracts of rainforest, in what became known as debt-for-nature swaps.
Debt2Health is similar to debt-for-nature swaps, in which rich countries write off a poor country's debt in exchange for commitments that money which is freed up will be spent on environmental protection.
Debt conversion, debt-for real-estate swaps, debt-for-development swaps, debt-for-nature swaps, and debt prepayment: the creditor exchanges the debt claim for something of economic value on the same debtor.
 
 
 
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