In the old economic texts, students are taught the choice of producing guns or butter. It seem to be one or the other, not both could be produced at the same time. That line of thinking – either black or white; one or another; my way or the highway; and the list goes on. Sometimes it possible to consider both.

In an article by Virginia Furness and Marc Jones of Reuter, at least 5 African countries are working on what could be the world’s first joint debt for nature swap to protect a coral-rich swath of the Indian Ocean.

Debt for nature deals is becoming popular for poorer countries to pay for conservation. Bonds or loans are bought and replaced with cheaper debt, with savings used for environmental protection. The African initiative would be the first to involve multiple countries sharing a distinct eco-system.

The countries involved are Kenya, Madagascar, Mauritius, Mozambique, Seychelles, Somalia, South Africa, Tanzania and the Comoros. The US and British governments aim to protect and restore 2 million hectares of ocean ecosystem by 2030, benefiting some 70 million people in coastal communities.

Key details such as how much of each country’s debt is bought up and who decides and monitors how and when the conservation money is spent, will require lengthy negotiations.

The International Union for Conservation of Nature (IUCN) is hoping for $2 billion with $500 million of concessional funding and $1.5 billion of bond swap money.

Linking to dividend paying stocks, in most of our lives we often live in the grey area – for example do you drive exactly the speed limit or do you go beyond it? Often times we are given a choice of one or the other and they should not meet in the middle. It is good that there are choices in financing.

There are more questions that answers, till the next time – to raising questions.