Peru, 29 October 2026—The Government of Canada and Forest Trends today launched Invierte en Ecosistemas, a new C$8 million initiative that will help mobilize and accelerate at least US$40 million in investments in the restoration and sustainable management of watersheds that are critical for Peru’s water security and economic prosperity. The project will be implemented in partnership with Peru’s environmental trust fund (PROFONANPE), the Consortium for Sustainable Development in the Andean Ecoregion (CONDESAN), and DESCOSUR, a Peruvian non-governmental organization. Invierte en Ecosistemas aims to cement nature-based solutions (NbS) as a central pillar in Peru’s response to its water security and climate adaptation challenges. The new project builds on more than eight years of collaboration with the Canadian Government under the Natural Infrastructure for Water Security (NIWS) project, which laid the foundations for scaling NbS for water security in Peru by strengthening policies, evidence, tools, and institutional capacities.
In Peru, more than two-thirds of the population lives along the coast, where less than 2% of the country’s water resources are concentrated. Extreme weather events have also exposed the country’s vulnerability: according to Peru’s Ombudsman’s Office (Defensoría del Pueblo, 2018), the 2017 Coastal El Niño caused an estimated US$3.1 billion in economic losses, equivalent to 1.6% of Peru’s Gross Domestic Product (GDP).
Against this backdrop, investing in nature is a strategic priority: in the Peruvian Andes, conserved natural areas experience 12x less erosion than agricultural land. Furthermore, an international review found that seven out of ten studies assessing cost-effectiveness considered these solutions economically viable for reducing disaster risks.
“As Peru faces growing water shortages driven by glacier loss, rising demand, and climate extremes, protecting the ecosystems that store and regulate water is becoming more important than ever. Peru has shown what is possible when investment in nature becomes part of a country’s water infrastructure, and the next step is to build on that progress.”
– Michael Jenkins, Founding President and CEO, Forest Trends
“Peru has become a regional leader in investing in nature-based solutions for water security, demonstrating that healthy ecosystems are essential infrastructure for sustainable development. Through Invierte en Ecosistemas, Canada is proud to support the next step in this journey: helping transform proven solutions, scientific evidence, and investment opportunities into actions that strengthen water security, climate resilience, and economic opportunities for communities across the country. By working together with government institutions, the private sector, Indigenous Peoples, local communities, and women leaders, we can build a more resilient future for both people and nature.”
– Bronwyn Cruden, Counsellor and Head of Aid for Peru, Global Affairs Canada
Between 2026 and 2030, Invierte en Ecosistemas aims to unlock funding and support the implementation of at least US$40 million in NbS projects. Forest Trends and its partners will also provide direct support to regional governments, national authorities and ministries, water utilities, and the private sector to advance the development of a larger pipeline of NbS projects. In doing so, the project will support the sustainable management or restoration of more than 20,000 hectares of ecosystems and directly benefit over 60,000 people.
The project will also seek to expand economic opportunities and water security benefits from NbS investments, while strengthening local communities’ and women’s participation in the decision-making process.
“Over the past several years, Peru has made significant progress in building the evidence, strengthening capacities, and forging partnerships to advance nature-based solutions for water security. With Invierte en Ecosistemas, we aim to take the next step: turning that progress into concrete investments on the ground that deliver lasting benefits for ecosystems and local communities.”
– Fernando Momiy, Project Director at Forest Trends.
The project prioritizes NbS investment opportunities in Lima, Arequipa, Piura, San Martín, and La Libertad. In Lima, it will provide technical assistance to NbS initiatives in the watersheds that supply the city; in Arequipa, it will advance opportunities linked to improving the regulation and provision of water in high-Andean ecosystems within the Quilca-Chili watershed; and in Piura, it will foster stakeholder coordination and provide technical support to mobilize investments aimed at increasing water availability and reducing the risk of flooding in the Chira-Piura watershed.
Through these efforts, Invierte en Ecosistemas seeks to strengthen collaboration among public institutions, water utilities, local communities, and other partners to advance long-term investments in nature that support Peru’s water security and climate resilience.
About Forest Trends
Forest Trends’ mission is to drive innovation in environmental finance to sustain resilient ecosystems and communities. Since 1999, Forest Trends has worked through partnerships to develop finance and business models that recognize the value nature provides and create durable benefits for ecosystems and communities.
About Global Affairs Canada
Global Affairs Canada leads Canada’s international development, diplomatic, and humanitarian efforts, working with partners to advance a more peaceful, prosperous, and sustainable world. Through its international assistance, Canada supports climate resilience, biodiversity conservation, gender equality, and inclusive sustainable development, helping communities address shared global challenges.