The UNEP State of Finance for Nature 2026 report highlights a severe global imbalance in environmental finance, revealing that more than $30 is spent on activities that harm nature for every $1 invested in protecting it. Nature-negative financial flows reached around $7.3 trillion annually, while funding for nature-based solutions (NbS) stood at only $220 billion. Harmful subsidies for fossil fuels, industrial agriculture, and resource-intensive sectors continue to dominate global spending patterns. Although investment in NbS has shown modest growth and some decline in fossil fuel financing is visible, progress remains far too slow. UNEP warns that NbS funding must rise to at least $571 billion per year by 2030 to meet global climate, biodiversity, and land restoration targets. Without redirecting financial systems toward nature-positive investments, the triple planetary crisis of climate change, biodiversity loss, and pollution will intensify.
Click to View MoreNature-based Solutions involve using ecosystems such as forests, wetlands, mangroves, grasslands, rivers, and urban green spaces to address climate change, biodiversity loss, disasters, and livelihood challenges. They are increasingly recognised as central to India’s climate and development strategy because they provide carbon storage, flood control, water security, food security, and job creation while being cost-effective. However, challenges such as inadequate finance, policy gaps, land conflicts, weak monitoring, and risks of greenwashing remain. Global initiatives such as ENACT aim to accelerate and scale up Nature-based Solutions worldwide, helping countries integrate them into climate policies, mobilise funds, and promote community participation for a resilient and sustainable future.
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