The business case for reversing deforestation and other nature loss

Nature loss is happening at an alarming rate. Human activity has already altered 70 per cent of all ice-free land. Up to 40 per cent of the world’s land is now degraded. And this destruction of forests, wetlands and savannahs means that today up to one million species are threatened with extinction.

Looking at forests in particular, globally we have destroyed one-third of forests, and the rate of destruction remains high: deforestation in the Amazon, the world’s largest rainforest, is at its highest level in 15 years.

Nature loss impacts the rights of Indigenous peoples and Local Communities, and Indigenous peoples and Local Communities are essential to protecting and restoring nature. Indigenous peoples, who comprise 5% of the world’s population, steward 80% of the world’s biodiversity.

Companies and financial institutions assessing and managing their nature-related risks must integrate human rights into their nature-related policies and commitments.

More and better nature-related data enables companies and financial institutions to change their policies and practices.

Companies can use nature-related data to identify how their supply chains may be driving nature loss, so they can take informed action.

Financial institutions can use nature-related data on the companies in which they invest in and loan to, to assess if their capital is driving nature loss. They can then take informed decisions to engage or divest.

While data gaps remain, sufficient data exists for companies and financial institutions to begin identifying their impacts on nature.