Nicholas Institute for Environmental Policy Solutions
Planting trees and generating money. Image credit Shutterstock/Mee Ko Dong
Shutterstock/Mee Ko Dong
Project

Green Banks and Community Lenders Financing Nature-Based Solutions

Nature-based solutions encompass a wide range of actions to protect, manage, or restore natural or modified ecosystems to address societal challenges—including climate change—in a way that simultaneously benefits people and nature. While the federal government has invested in nature-based solutions, private capital is needed to help scale up financing of these projects in the United States.

Green banks and community lenders, including community development financial institutions, use innovative financing to provide climate and community benefits in markets that mainstream finance often does not reach. The goals of these mission-driven institutions could be advanced by applying their substantial financing capabilities to projects focused on nature-based solutions.

The Nature-Based Solutions Financing Working Group, led by the Nicholas Institute and Environmental Policy Innovation Center, created resources for those interested in scaling up nature-based solutions financing through green banks and community lenders.