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Future-proofing nature finance: Towards building climate-resilient biodiversity credits
The policy brief “Future-proofing nature finance: Towards building climate-resilient biodiversity credits” draws attention to a critical gap in current biodiversity credit (“biocredit”) initiatives: the lack of consideration of howclimatechangewill reshape ecosystems.
Because climate change affects the dynamics and distribution of biodiversity, short-term gains recorded by biocreditsmay not be sustained over time. This undermines both the functionality and the credibility of these instruments. The brief emphasizes the need to integrate climate risk and adaptation strategies into the design of biocreditsand offers recommendations to ensure their long-term ecological and financial integrity.
The brief builds uponpreliminary research conducted by IIS in partnership with re.green. The work was authored by Stella Manes, Sara Mortara (re.green), Luisa F. Liévano-Latorre, Fernando Resende, Renata Capellão, Vinícius F. Farjalla, Juliana M. de Almeida-Rocha, Viviane Dib, Agnieszka Latawiec, Carlos Alberto Scaramuzza, Paulo D. Branco, Rafael Loyola, Bernardo Strassburg, and Pedro H. S. Brancalion(re.green).
The study reviewed 24 global biodiversity credit initiatives, analyzing the biodiversity dimensions considered, methods applied, co-benefits, and other recurring patterns. It also provides recommendations to strengthen the effectiveness and robustness of these initiatives in measuring and valuing biodiversity.