Nature finance encompasses any financial transaction that pays to protect, conserve, or restore natural systems. Globally, the financing gap for nature is significant. Estimates indicate that reaching 2030 climate and biodiversity goals will require a near-tripling of the annual $200 billion currently invested in nature. As of 2023, 82% of investment in nature-based solutions comes from governments, with only 18% coming from private financial sources. For many years there has been discussion about ways to not only narrow the financing gap but also increase the proportion of nature finance coming from the private sector.
The Nature-Based Solutions Financing Working Group, led by the Nicholas Institute and Environmental Policy Innovation Center, is providing resources for those interested in scaling up nature-based solutions financing through green banks and community lenders.