Global leaders step up biodiversity financing, nature-related disclosures

France
On the 01/12/21 at 7:44AM

by

Tuba Raqshan

Prime ministers Justin Trudeau (Canada), Boris Johnson (UK) and Erna Solberg (Norway) and French president Emmanuel Macron announced funding commitments to protect biodiversity and increase focus on nature-related financial disclosures at the One Planet Summit.
French President Emmanuel Macron, UN Secretary General Antonio Guterres, President of the World Bank David Malpass and His Royal Highness the Prince of Wales/
(Twitter)

Held at L'Elysee in Paris on 11 January, the One Planet Summit witnessed renewed ambition on protecting biodiversity loss, increasing investment in nature-based solutions and creating nature-based financial disclosure framework.

Stating that the international community has a responsibility to act, Canada’s prime minister Justin Trudeau committed CAD 55m to the Land Degradation Neutrality (LDN) Fund, an investment fund initiated by the United Nations Convention to Combat Desertification (UNCCD) and managed by French asset manager Mirova. The fund, which aims to raise $300m, will support sustainable land management and restoration, aiming to restore up to 500,000 hectares of degraded land, reduce or avoid greenhouse gas emissions of up to 35 million tonnes and create 100,000 jobs for vulnerable populations.

The Covid-19 pandemic taught us that climate health is liked to global health.

Emmanuel Macron, President, France

Speaking at the summit organised by France along with the United Nations and the World Bank, British prime minister Boris Johnson committed £3bn to climate change solutions that protect and restore nature and biodiversity over five years. The funding will be allocated from the UK’s existing commitment of £11.6bn for international climate finance.

“The Covid-19 pandemic taught us that climate health is liked to global health,” said French President Emmanuel Macron, stressing on the need for nature-related disclosures. He added that the Taskforce on Nature-related Financial Disclosure (TNFD) will develop a framework for measuring the risks, impacts and benefits of economic activities regarding biodiversity, in order to establish transparency frameworks for companies and financial institutions. Supported by the British and French governments, the TNFD initiative will see 50 leading financial institutions, such as asset managers, private equity firms, banks and insurance companies participating to create this taxonomy.

Increasing biodiversity financing:

The summit saw the creation of the Coalition of High Ambition for the Nature and the People, where 50 countries have committed to protect 30% of the land and ocean by 2030. The initiative’s various partners have committed to mobilise $14.3bn of international funding for the Great Green Wall Accelerator, a multi-stakeholder agroecology project to develop the Sudano-Sahelian strip. Additionally, the Natural Capital Investment Alliance was launched by the Prince of Wales along with HSBC Pollination Climate Asset Management, Lombard Odier and Mirova, which seeks to mobilise $10bn for natural capital themes across asset classes by 2022. The Coalition for Convergence of Climate and Biodiversity Finance will work to increase the share of climate finance that benefits biodiversity to at least 30% by 2030.

Halting and reversing tropical deforestation is a key element in addressing both climate change and biodiversity loss.

Erna Solberg, Norway’s prime minister

At the summit, Ursula von der Leyen, President of the European Commission, said that the continent’s new biodiversity strategy set out EU’s ambitions to protect 30% of the land and sea areas. “We will invest several hundred million euros over the next four years for research: on biodiversity, animal health, emerging diseases and much more,” added von der Leyen. The European Commission also launched an online public consultation on the development of legally binding EU nature restoration targets.

Erna Solberg, Norway’s prime minister, underlined that the Nordic country is increasing its ambitions. “Halting and reversing tropical deforestation is a key element in addressing both climate change and biodiversity loss. Together with Germany and the UK, we have fulfilled our joint pledge to provide more than $5bn between 2015 and 2020. Norway has pledged to continue its tropical forest initiative up to 2030,” she said. Solberg added that Norway has just signed the renewed Amsterdam Declaration Partnership statement for 2025 together with eight European countries, to eliminate deforestation in agricultural commodities.

Solberg said that countries should reduce or redirect subsidies that are harmful to biodiversity and start by screening such subsidies and generate additional resources from both the private and public sector for efficient biodiversity conservation.

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