Why Nature Matters

Nature underpins our collective survival and wellbeing by providing human development and equality, economic value and security, and increasing our resilience to climate change. There is no business without nature, yet nature is in crisis. Businesses must urgently take the lead to become part of the solution.

Understanding nature and biodiversity

The natural world including all natural capital, processes, living organisms (including people) and phenomena like freshwater, air, oceans, forests, and soil. Nature provides vital ecosystem services such as water filtration and pollination.
Nature can be understood through a construct of four realms upon which all life on earth depends: freshwater, land, ocean and atmosphere (TNFD).
Biodiversity is the variability within species, between species and of ecosystems. In other words, biodiversity is the diversity of all living things. More biodiversity is essential to a healthy, stable and resilient planet.

The risks of inaction

The worsening nature crisis poses significant risks to people, business, climate, health, and the global economy. All businesses rely on and impact nature and ignoring this poses severe threats.

What's at stake?

Economic collapse: A collapse in ecosystem services could result in a $2.7 trillion GDP decline annually by 2030 (World Bank).

Systemic instability: Destabilization of Earth's interconnected systems threaten access to food, clean air, and water, impacting human and economic prosperity.

Exacerbated inequality: This crisis disproportionately affects vulnerable communities, worsening social inequality.

A blind spot for business

Currently there is limited understanding of nature-related risks to business models and operations. Nature is often not embedded into core business decision-making and processes (e.g procurement, risk management and compensation) which limits effective action.

When companies don’t understand their dependencies on nature, they don’t understand how exposed they are to the risks, or what the transition to a nature-positive economy will mean for them.

Turning risks into business value and resilience

Companies increasingly understand that by taking action now, they can transform nature-related risks – physical, reputational or regulatory – into commercial opportunities.

Trillions of dollars in opportunity: Nature-positive business models could create annual business opportunities worth $10 trillion by 2030.

Billions in saved costs: Nature-positive actions could provide a combined value opportunity of nearly $700 billion annually through reduced operating costs for businesses.

Minimized losses and reduced risk from the business risks outlined above.

Potential for investment, collaboration, innovation and a more equitable economy

Nature helps prevent climate breakdown and makes us more resilient to a warming planet. Over the past decades, our planet's oceans, flora, fauna and soils have absorbed more than 50% of human-induced carbon emissions.

Natural climate solutions can provide up to one-third of the cost-effective climate mitigation needed by 2030 to meet the goals of the Paris climate agreement.

Making nature mainstream

The global regulatory environment for nature is rapidly evolving, bringing both challenges and immense opportunities. To truly make nature mainstream, we need a consistent and ambitious policy environment that provides clarity and certainty for businesses worldwide.