Investing in Amazon Rainforest Conservation: A Foreigner’s Perspective
5. Limited demand for Amazonian products from corporate buyers
Too few long-term purchase contracts that help producers and entrepreneurs to access finance for impact business.
Delayed returns due to delayed profitability of restoration and agroforestry.
Limited research and awareness of the cornucopia of commercially viable Amazonian biodiversity.
Lack of price stability and transparency.
4. Limited connectivity between global investors and regional opportunities
International private sector investors lack access to high-potential deal flow from the Amazon.
Amazon entrepreneurs lack experience with investor communications.
Lack of trust and connective tissue between global investors and Amazon entrepreneurs / producers.
Inefficient matchmaking systems between Amazon incubator/accelerator portfolios, angel investor appetite, and ecosystem requirements.
3. Insufficient risk capital and catalytic philanthropy
Limited philanthropy and matching political will to combat illegal deforestation by enforcing the rule of law.
Insufficient catalytic capital to derisk private investment and make early projects bankable.
Incomplete project development funding to scale carbon finance systems from local levels to jurisdictions.
Lack of community wealth reciprocity to ensure that investments foster local prosperity while reducing inequality and thwarting deforestation incentives.
2. Lack of market data and coordination
Poor market data transparency for investors and offtakers (projects, products, prices, historicals).
Global finance players lack understanding of regional context, opportunities, and risk mitigation.
Knowledge silos across countries.
Limited peer-to-peer learning across the capital stack.
1. UNDERDEVELOPED MARKET INFRASTRUCTURE
Weakened investment-ready impact business pipeline and underdeveloped innovation ecosystem.
Local companies are far from markets and limited by logistical and transportation challenges.
Weak regulatory environment, insecure land rights, poor law enforcement, risks to the rule of law.
Systemic barriers for female producers and entrepreneurs.
