Arbonics and Swedbank Launch Nature Tech Afforestation Loan for Landowners

    Arbonics, a climate tech startup, has partnered with Swedbank, the leading bank in the Nordic and Baltic region, to introduce an innovative afforestation loan aimed at supporting the planting of new forests and fostering climate change mitigation. This unique offering allows landowners in Estonia and Latvia to access affordable financing for afforestation, covering upfront costs of trees and planting while also enabling them to earn extra income from carbon credits.

    The collaboration between Arbonics and Swedbank represents a significant step towards sustainable finance solutions in the fight against climate change. By addressing not only greenhouse gas emissions but also ecosystem destruction and biodiversity loss, this nature tech initiative seeks to protect and restore the natural environment.

    In the world of climate tech, two emerging concepts are nature tech and green tech. While both focus on environmental sustainability and combating climate change, they approach the challenges from different perspectives.

    Under the partnership, Arbonics will provide landowners with a sustainability assessment, which is necessary for their loan application. Swedbank will then offer financing for the establishment of new forests on better terms due to adherence to EU Taxonomy Regulation. By enabling landowners to access affordable financing, the initiative incentivizes afforestation, driving new efforts to combat climate change.

    Nature tech companies are at the forefront of developing solutions for nature restoration, protection, and enhancement. From reducing greenhouse gas emissions in farming to increasing carbon storage in oceans, nature tech startups are focused on four main areas of environmental conservation.

    Examples of Nature Tech Startups

    • Living Carbon: This startup, founded by Maddie Hall, genetically modifies trees to grow faster and store more carbon, contributing to nature-based carbon sequestration.
    • Rhizocore: Rhizocore produces locally-adapted mycorrhizal fungi to enhance tree planting success, playing a critical role in supporting tree growth.
    • Pivotal: Pivotal measures biodiversity change through real-world samplings, including frequency and diversity of birdsong.

    Arbonics is a nature tech startup that collaborates with data scientists, geoinformatics scientists, and forestry experts to develop scalable solutions for carbon- and biodiversity-friendly forest management. By integrating traditional knowledge from experienced foresters and landowners with modern technology, Arbonics aims to drive meaningful impact in nature restoration and climate-friendly practices.

    The Arbonics and Swedbank afforestation loan marks a significant shift towards scientifically validated, climate-friendly loans aligned with the European Commission’s push for sustainable finance. By empowering landowners to contribute to afforestation and carbon management while earning income from carbon credits, this nature tech partnership paves the way for a greener future.

    Arbonics and Swedbank’s collective efforts exemplify the potential of nature tech to revolutionize climate finance, protect ecosystems, and combat the global climate crisis. As the world continues to face environmental challenges, this innovative approach brings hope and progress towards a more sustainable and resilient future.

    David Zingmark
    I'm a passionate individual dedicated to shining a spotlight on incredible companies. My goal is is to uncover stories by telling the most complex operations into simplified words, empowering you as a reader to gain better insights and make informed investment and/or business choices.

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