Frequently asked questions

The Water Funds are organizations that design and improve financial and governance mechanisms, that unite the public, stakeholders from civil and private society around a common goal to contribute to water security through nature solutions and sustainable management of hydrographic basins (TNC, 2018).

The Water Funds are collaborative platforms developed by cities and conservation professionals, to help solve governance problems by closing the scientific, jurisdictional, financial gaps and the implementation of actions associated with water management. They help communities improve water quality by bringing users together collectively to invest in upstream habitat protection and land management, and mobilizing innovative sources of finance.

Nature-based solutions refers to all actions that rely on ecosystems to respond to society's needs such as food security and disaster risk management (1). They refer to projects that help conserve the environment by creating habitats, reducing carbon emissions and restoring natural conditions.

SbNs can be used in combination. For example, to address problems associated with floods, landslides, or the preservation of water flows, conservation actions and ecological restoration of hydrographic basins can be implemented, combined with reforestation and ecosystem restoration practices.

Selecting the most appropriate NBS for a watershed requires contextual and benefit knowledge to determine their potential contribution.

Among the NBS that are managed in the water funds, there are (2):

• Restoration of habitats

• Agroforestry activities

• Forest protection

• Best Agricultural Practices

• Restoration of riparian vegetation

• Reforestation

• Restoration and protection of wetlands

(1) Nature-based solutions

(2) Water funds

Waterproof works with InVEST, RIOS and ROI models.

1. InVEST is a set of models, developed by Natural Capital, used to map and value nature's goods and services that sustain and satisfy human life.
2. The Resource Investment Optimization System (RIOS) is a tool developed by Natural Capital that can be used to prioritize investments in ecosystem services that helps to answer several critical questions faced those who invest in ecosystem services with limited resources.
The return on investment - ROI, is a financial ratio that compares the profit or profit obtained in relation to the investment made. Having a 3. Return on investment analysis facilitates decision-making and negotiations between stakeholders in making investments, for which it is necessary to offer scenarios mainly associated with land use, showing the performance of investments in hydrographic basins, which is done by using data and model runs.
For more information consult our information About models.