Read the following passage and answer the questions given below. Some words are highlighted to help you answer some of the questions.

Tropical deforestation is one of the great challenges facing humanity. If we don’t slow it down soon, the chances of avoiding disastrous climate change, species loss and the disruption of indigenous and traditional people’s cultures grow slimmer. And this rapid deceleration will be possible only if the governments, farm sectors, rural communities, businesses and civil societies of tropical forest regions devise and implement effective strategies. In the long term, the goal of taming deforestation must be embedded in public policies, programs, business transactions and culture. To put it bluntly, political leaders who embrace the goal of taming deforestation must be electable. The jurisdictional approach can help to translate unilateral corporate deforestation pledges into collaborative agreements with local governments and farm sectors, building the political case for slowing deforestation.

In a jurisdictional approach, the unit of performance is a landscape with policy-relevant boundaries – political geographies such as a state, province, district or an entire nation. This is the unit of performance that can effectively bring together multi-stakeholders on the appropriate pathway to sustainable development. In Brazil – a shining example of a successful jurisdictional approach to slow tropical deforestation – progress has been possible because political forces were pushing in the right direction. The approach was jurisdictional because success was defined as a decline in deforestation for the entire Brazilian Amazon region and for all types of land use. The Government used command-and-control measures to slow deforestation, but it also broadened its political base by paving its all-weather motorways providing access to Pacific markets. It also attracted new low-carbon industries to set up shop through innovative incentive systems.

The stage is also set to attract private financial investments into new low-carbon industries and farmer support programs as the risks associated with rampant deforestation, illegal land-use practices and labor infractions are diminished. In many ways, a political case for slowing Amazon deforestation was handed to President Lula on a silver platter. He came into office in 2003 with a mandate to deepen Brazil’s international credibility just as Amazon deforestation was skyrocketing, triggering international outrage and a diplomatic headache for the new president. It was in this favorable political context that Lula empowered his environment minister to draw on the most powerful branches of the government – including the army and central bank – to crack down on illegal deforestation and logging in the Amazon. These formal designations further weakened the land-grabbing schemes that were driving deforestation.

What role will private financial investments in innovative low-carbon industries play in maintaining the ecological balance?