Financial firms already struggling with climate-compliance due to unclear measurement metrics will soon face new disclosure requirements for biodivers
Financial firms already struggling with climate-compliance due to unclear measurement metrics will soon face new disclosure requirements for biodiversity, or nature-related, investments.
“Nature is a financial risk for business,” Elizabeth Mrema, co-chair of the Taskforce on Nature-related Financial Disclosures (TNFD), told the Reuters Global Markets Forum, adding that $10 trillion is accrued every year from nature.
The TNFD working group is putting together metrics to measure biodiversity targets in consultation with industry and financial institutions. Its post-2020 Biodiversity Framework is expected to be adopted later this year.
“It’s about accountability. You cannot improve what you cannot measure. What gets measured gets done. We need that robust measurement system,” said Daniel Stander, deputy chair of the Resilient Cities Network.
Another metric will ask the private sector to repurpose and redirect harmful subsidies, worth over $500 billion a year.
“Biodiversity is getting higher on the agenda,” said David Knibbe, CEO of Dutch insurer NN Group NV (NN.AS), which has 200 billion euros ($214 billion) in assets under management and is active in sustainable finance.
“The good news is quite a few of the biodiversity projects go hand-in-hand with the climate projects,” Knibbe said.
Fonte: Reuteres.com
