Defending an endangered species while protecting the ecosystem and the local communities: this is the aim of the Wildlife Conservation Bond – also known as Rhino Impact Bond – an innovative financial instrument that pays returns to its investors in relation to the growth rates of black rhinos in two South African reserves, the Addo Elephant National Park and the Great Fish River Nature Reserve.
Among the subscribers of the initiative launched by the World Bank is Valeur Group, which on May 16 announced its subscription of the Rhino Bonds. This instrument consists of a 5-year loan of 150 million dollars: the capital raised will be allocated to the two natural reserves with the aim of increasing the growth rate of black rhinos by an average of +4% per year. According to the results that will be achieved, the same rate will be applied to the interest paid to investors. Today there are just 2,600 black rhinos in the area, from 65,000 in the 1970s.
There are two main reasons for this drastic reduction: on the one hand, the poaching linked to international trade, on the other, the fragmentation of natural habitats. Commenting on the subscription, Founder and CEO Lorenzo Vangelisti explained the reasons behind the choice made by Valeur Group: “The preservation of rhinos can contribute to the defense of biodiversity and at the same time can promote employment in local communities through the creation of jobs needed to carry out this important conservation project. The decision to invest in the Rhino Impact Bond reinforces our commitment to pursuing humanitarian and animal protection goals, which are the main purposes of our non-profit organization Valeur Foundation”.
