COVID-19 and the subsequent economic downturn has put many developing and emerging markets on a pathway to a sovereign debt crisis, which requires an urgent global economic response. 2020 was designated as a critical policy year for the future of biodiversity and climate, an imperative given the collective failure to halt biodiversity loss and inability to achieve most of our global targets.
Finance for Biodiversity (F4B) believes that there is now a compelling opportunity, and an urgent need, to deploy a sovereign debt instrument that links the cost of sovereign debt with success in protecting or enhancing a country’s valued, productive natural capital.
This publication sets out an approach to link the cost of sovereign debt with success in protecting or enhancing a country’s valued, productive natural capital.