THE nature is in crisis and so are we. For centuries we have exploited it in an uncontrolled manner, resulting in demands that exceed its capacity to provide us with the goods and services essential for our survival. As a result, we currently need about 1.7 planet to meet our annual demand for natural resources.
However, despite the knowledge that we are directly dependent on nature to survive, for a long time in our history, the relationship between economy and nature was not a cause for great interest and concern. This was because it was not believed that there was economic losses significant due to climate and environmental risks.
Economic security through nature
Anyone who still believes that this is not a relationship of interdependence is mistaken. The study The New Nature Economy Report revealed that more than half of the world's GDP is moderately or highly dependent on nature and its services — a total of US$ 44 trillion in generating economic value.
Since the nature loses its ability to provide these services, a multitude of economic activities are at risk of being significantly disrupted. This scenario shows that without rapid and organized action, the emergence of loss of biodiversity will create uncertainty for all market sectors and poses an urgent and non-linear threat to the security of our economy.
Furthermore, due to its economic importance, this subject has aroused the interest of several investors who, increasingly, see the concern of businesses with biodiversity in asset selection and investment portfolio management. This means that companies and financial institutions need to invest in in-depth knowledge of how impact and depend on nature, as everything indicates that in the near future this information will be essential.
As the trend toward greater transparency and accountability becomes a differentiating factor, costs are likely to increase for businesses that have not yet begun to includenature at the center of the organization's concerns. Those that, as soon as possible, incorporate nature into their strategies tend to develop competitive and financial advantages in relation to its competitors.
How to put this into practice
Aligned with goal 15 of the COP 15 Global Biodiversity Framework, a Task Force on Nature-Related Financial Disclosures (TNFD) was created in response to this growing need to consider the nature in financial and commercial decisions. Its ultimate goal is to support a shift in global financial flows, transitioning from negative to positive outcomes for the biodiversity.
Sitawi is one of the pioneering organizations to execute a pilot study of TNFD in Brazil and therefore has experience in adapting the platform to the national context. We aim to participate in and conduct assessments of risks and opportunities related to nature, if organizations are committed to advancing the mobilization of resources to build territorial programs or financial solutions for conservation.
This is a fundamental step for all businesses that wish to not only contribute positively to the environment that guarantees our survival, but also their financial security.
Do you want to start implementing this strategy in your organization? Contact us!
