Standard Chartered Plc is joining a growing list of banks keen to explore opportunities in a debt-swap market that was once dominated by Credit Suisse.

StanChart has held regular talks with governments that have indicated they’re interested in tapping debt-for-nature swaps, according to Robbie Sommerville, global head of sustainability communications at the UK bank. The deals typically allow a country to refinance its debt on better terms in exchange for promises to protect the environment.

Before its state-engineered takeover by UBS Group AG, Credit Suisse had cemented a reputation as the top bank for arranging such refinancing structures. Its most recent swap marked a record $656 million deal for Ecuador. That followed transactions for Barbados and Belize. But Credit Suisse was absent from the latest debt-for-nature-swap, which was done by Bank of America Corp. for Gabon.

StanChart already has some experience in a similar market. In 2018, it partnered with the World Bank to help raise $15 million for the Seychelles with a sovereign blue bond, the proceeds of which went toward marine conservation. That deal drew investments from Nuveen LLC and Calvert Impact Capital Inc.

“Since then, the quantum has shifted,” and deal sizes have grown considerably, Sommerville said.

Credit Suisse has helped replace about $2.3 billion of debt with roughly $1.2 billion of new financing tied to nature projects, according to Ramzi Issa, who oversaw the deals at Credit Suisse. BofA arranged a $500 million swap for Gabon. Barclays Plc has estimated that the market for debt-for-nature swaps may reach $800 billion.

Countries that use debt-for-nature swaps typically start by buying back existing debt, which is then exchanged for a cheaper loan that’s financed with a new bond. A portion of the savings from that arrangement is put toward conservation projects.

Competition is heating up, with Citigroup Inc. and HSBC Holdings Plc recently declaring their interest in doing debt-for-nature swaps. But BofA’s handling of the Gabon deal has exposed some of the hurdles new entrants face. Nuveen turned the deal down based on its limited debt savings for the country. Analysts also questioned the decision to leave a large chunk of old, expensive debt on Gabon’s books.

Sommerville said StanChart would look to help governments “move the dial on biodiversity impacts, while advancing the economic and social developments of their market.”