Increasing the Alignment of Global Finance with Nature

The global economy must deliver nature-positive, equitable outcomes if we are to tackle the existential challenges of nature loss and climate change. As nature is not material in most financial decision-making, there is significant misalignment of public and private financial flows with nature-positive outcomes. Understanding the current degree of alignment of global finance, and identifying actions needed to increase it is vital. NatureFinance is developing a suite of tools to track alignment, identify policy solutions, and provide a strong foundation for action to increase alignment over time. These tools will empower corporate, national, and international actors, both private and public, to make systemic changes to transition to a nature-positive world. Although the climate and nature crises are inextricably linked, the need for aligning finance with nature does not yet command the same acceptance as Paris Agreement alignment does for climate change. Major studies, in particular the Dasgupta Review, make it clear that now is the time for nature to be factored comprehensively into financial decision-making and made material in financial flows.