Nature-based solutions

Why it matters

There is clear evidence of link between global warming, climate change and risks to ecosystems and people. Efforts to limit global warming to 1.5°C above 1990 levels could limit but not eliminate the damage. Natural ecosystems are vulnerable to climate change, while they also provide opportunities to advance remedial actions. Such actions, or nature-based solutions (NbS), can involve the protection, management and restoration so that they can contribute to effective climate action. NbS can be:

• Climate change mitigation-focussed: Natural ecosystems store significant amounts of carbon in biomass and in soils, and effective interventions can enhance their carbon sequestration capacities.
• Climate change adaptation-focussed: Natural ecosystems help communities adapt to climate hazards and build their resilience to climatic shocks by shielding them from loss of lives, livelihoods and infrastructures.

Definition

Our Nature-based Solutions portfolio supports actions that aim to protect, manage and restore natural assets by involving and leveraging private sector financing so that they can deliver sustainable and tangible benefits for people.

Our target group

We support underserved communities, particularly in Asia and Latin America, through tailored direct and indirect financing to specific initiatives and nature-positive businesses that advance climate action.

Over the last few years, we have also developed a Coastal Resilience niche that focusses on communities vulnerable to climatic hazards in coastal zones. This niche recognizes the powerful role that coastal ecosystems play in climate change mitigation and adaptation. We are increasingly looking at developing other niches, for example, Urban Nature-based Solutions, which can allow us to expand our support to impactful climate action initiatives.

Areas of support

We focus on promoting nature-based initiatives in coastal and other ecosystems that can leverage innovative financial mechanisms to protect, manage and/or restore natural assets in a manner which is financially and operationally sustainable, while meeting robust social and climate action objectives.

Targets

We support projects that aim to generate impact on these dimensions:

• Number of people reached
• Number of people with improved resilience
• Number of organisations improved
• Financial assets mobilised
• Environmental impact (tCO₂ avoided/removed, km² of land area protected, managed or restored)