About the Arbaro Fund
The Arbaro Fund is a Luxembourg-based private equity fund managed by FiM Asset Management S.à r.l. and advised by Arbaro Advisors GmbH.
The fund invests in sustainable forestry projects in Latin America, the Caribbean, and Sub-Saharan Africa in countries where biophysical growth conditions for forests are ideal.
By establishing a renewable resource through sustainably managed, FSC-certified forest plantations, Arbaro provides significant climate change mitigation and adaptation benefits in its target countries: Over its lifetime, Arbaro aims to sequester 20 million metric tons of CO2.
Arbaro is furthermore set to create around 5,000 new jobs and contribute to knowledge and skill development in the rural areas in which it operates.
This combination of environmental and social benefits makes an Arbaro investment a generator of positive impact on both a local and global level while earning solid financial returns.
Arbaro is supported by the European Investment Bank as anchor investor; the Finnish Fund for Industrial Cooperation as an experienced forestry investor; and multiple private-sector investors.
Here can you find the Arbaro Environmental, Social and Governance Policy.
We are pleased to provide you with the Arbaro Fund’s Annual Sustainability Report for the year 2021. After a couple of challenging years due to Covid-19, we have been successful in making investments into three projects, in Ghana, Sierra Leone and Paraguay, and have made significant progress in other pipeline projects in Latin America. This has paved the way to close 2022 with a full deployment of the Arbaro Fund.
Throughout the years, and depending on the maturity of the investments, we have assessed impacts and risks of the forest operations and have developed action plans and responsibilities to enhance positive impacts and minimise risks. We are making prompt advances on key topics such as gender and biodiversity with assessments that will lead the way to develop clear management strategies, while at the same time we are engaging with local research institutions to understand and test native species for plantations, to name a few examples.
We have reached 2022 with full energy and commitment for the end of the investment period and the continuation to manage the projects in a way that we ensure continuous improvement in all aspects on the business, particularly from a commercial, technical, social and environmental perspective. From beginning of 2022 the Arbaro team has been strengthened by two additional members, including a full-time ES coordinator. We look forward to a successful year 2022!
For details, read our Sustainability Report 2021.
We are pleased to provide you with the Annual Sustainability Report of the Arbaro Fund. While the year was certainly characterized by restrictions, uncertainty and lockdowns, we are happy to say that we still made good progress towards our target of delivering sustainable environmental and social impact. More information on the impacts of Covid-19 on our operations can be found in this report.
Major milestone was reached during 2020 as the Fund reached its final closing, bringing in USD 51 million of fresh impact investment capital. Despite the challenges the pandemic brought to the fundraising, it has been encouraging that there is appetite for impact investments even in the middle of all the uncertainty.
The focus in 2021 will be on pipeline development and bringing in new projects. The pipeline is healthy with several interesting opportunities, and we are making good progress with assessing these. We look forward to a successful year 2021!
For details, read our Sustainability Report 2020.
We are pleased to provide you with the Arbaro Fund’s first Annual Sustainability Report. We are excited to plant the seeds for delivering sustainable environmental and social impact as part of the Arbaro Fund’s mission.
Only a few months after its first closing in July 2018 with commitments of USD 60.2 million, the Arbaro Fund made its first investment in Miro Forestry Developments in Ghana and Sierra Leone in November 2018. As its second investment, the Fund established a new forestry company in Paraguay in June 2019. Both companies reached their planting targets for 2019, with the establishment of ca. 3,500 hectares of new plantations. In 2020, besides managing the existing investments and developing new opportunities, the team will be occupied with continued fundraising efforts. There is a healthy pipeline with various potential opportunities in both Latin America and Sub Saharan Africa.
For details, read our Sustainability Report 2019.