Initiative 20x20 which plans to restore degraded land across Latin America to reduce greenhouse emissions will rely on private sector investment rather than grants.

Among the private sector investors committed to the initiative are the Moringa Fund and the Althelia Climate Fund, reports an article in the Latin American Post.

The Moringa Fund, a French group that invests in agroforestry projects in Latin America and Africa, believes that degraded land can be restored by adding trees to properties that are currently used for farming or raising livestock.

“The addition of trees helps the land retain water, adding to its productivity and providing shelter for animals. Over the long term, the trees themselves can be sustainably harvested to provide additional income to farmers,” said Clement Chénost, technical director of the Moringa Fund.

“A patch of trees can improve pastureland as much as sixfold, meaning less acreage can sustain more livestock.”

The Althelia Climate Fund is a Luxembourg-based group that invests in agroforestry projects near protected areas. “We want to build a credible business case so that bigger tickets will follow,” said Christian del Valle, Althelia’s founder and managing partner.

The company has already invested around US $49 million in projects in in Latin America that align with the 20x20 goals. Among these are projects that connect smallholder farmers with buyers looking for goods that are produced sustainably.

Initiative 20x20 aims to restore about 49 million acres of degraded land across 8 countries in Latin America through improving the productivity of current farmland; reducing the need to turn over additional land for food production.

Read the full story: Investors Recruited to Restore Farmland in Latin America

See also: Massive effort in Latin American to restore degraded land