With a current finance gap and urgent global challenges related to climate change, biodiversity loss, and land degradation, the UNEP emphasizes the critical need to double finance flows by 2025 and triple by 2030. The UNEP’s State of Finance for Nature 2022 report unveils alarming findings, indicating a significant shortfall in funding for nature-based solutions (NbS). Cities, identified as key players in implementing ambitious greening and restoration projects, are urged to receive increased direct financing for effective action.
CURRENT FINANCE FLOWS INSUFFICIENT
Global financial flows to nature-based solutions amount to USD 154 billion annually, less than half of what is required to address the triple planetary crisis. This includes climate change, biodiversity loss, and the restoration of land and seascapes by 2025.
URGENT DOUBLING AND TRIPLING REQUIRED
To halt biodiversity loss, limit climate change to below 1.5 ˚C, and achieve land degradation neutrality, current finance flows must double by 2025 and triple by 2030.
GROWING FINANCE GAP
The annual finance gap for nature-based solutions is estimated at USD 230 billion in 2025, increasing to USD 520 billion by 2050.
National governments are increasingly willing to channel sovereign funds and international loans to local governments for NbS, recognizing its cost-effectiveness in achieving global and national climate and biodiversity goals.
EMPOWERING CITIES FOR NATURE-BASED SOLUTIONS
Investments in nature at the urban level are vital components in the fight against climate change and biodiversity loss. Rapid growth in these investments is necessary. Mayors from 15 cities globally have called for increased direct financing, urging reforms in financial infrastructure and enhanced collaboration with the private sector to enable cities to fund nature-based
As the planet faces unprecedented declines in nature, including the largest loss of species since the dinosaurs, UNEP’s report underscores the urgency of bridging the funding gap for nature-based solutions. With cities identified as pivotal players and mayors calling for direct financing, the report emphasizes the need for collaborative efforts, financial reforms, and increased investments to address the critical challenges of our time.
