Scaling Up: The Global Push for $384 Billion in Nature-Based ecosystem restoration Investments by 2025
Global investments in ecosystem restoration and conservation are set to reach $384 billion by 2025, doubling current efforts to combat climate change.
Global Investments in Ecosystem Restoration and Conservation Projects Projected to Reach $384 Billion by 2025
As the world faces increasing challenges of climate change, biodiversity loss and land degradation, the UN Environment Programme (UNEP) has raised a significant clarion for investments in nature-based solutions (NbS). According to UNEP’s “state of finance for nature,” the annual global investments in NbS, which currently amount to $154 billion, need to triple to $384 billion by 2025 to effectively address the intertwined crises.
Nature-based solutions include all actions that protect, conserve, restore and sustainably manage natural or modified ecosystems. They include reforestation, wetland restoration, sustainable agriculture and marine conservation. Such initiatives mitigate climate change through carbon capture but also enhance biodiversity, improve water security and support resilience against natural hazards.
Nonetheless, despite the fact that NbS are beneficial, current levels of investment in them are below what’s required. Public resources constitute about 83% of existing NbS financing, while the remaining 17% is funded by the private sector – thus highlighting an urgent need to boost private investment as complement to public funds.
The economic argument for investing in natural resources stands convincing. Half of the global GDP depends on healthy and functioning ecosystems. Investment in NbS would yield very high returns through conserving that natural capital without which global economies cannot survive.
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However, to meet the target of $384 billion investment each year by 2025, a greater scale of finance is needed, but also a shift in financial flows from subsidies that are harmful to the environment. Currently governments spend about between $500 billion and $1 trillion every year on various subsidies, all of which lead to environmental degradation effects, such as supporting fossil fuel and unsustainable agricultural practices.
Innovative instruments and policy reforms are all essential to mobilizing the required resources. Green bonds, carbon pricing, or public-private partnership can tap into some huge forces in creating money for NbS. Furthermore, strategic integration of environment-related matters into financial decision processes will help align investments with sustainability goals.
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The coming United Nations Biodiversity Conference (COP15) presents the opportunity to the global leaders to commit to improved financing for nature. There can be clear mandates linking public and private sectors to avail amounts towards achieving the goal of investing $384 billion.
In conclusion, there is compelling evidence that scaling up investment in ecosystem restoration and conservation is simply an environmental imperative but also an economic necessity. Adopting nature-based solutions, therefore, will address immediate environmental challenges while safeguarding the natural resources that are necessary for prosperity in the future.
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