By Vanora Bennett

The European Bank for Reconstruction and Development (EBRD) launched its approach to nature Monday as part of Nature Day at COP28 in Dubai.

The approach is a statement on how the Bank can deliver more benefits for nature, and play its role in halting and reversing biodiversity loss by 2030.

Nature is in crisis. According to the Stockholm Resilience Centre, out of nine processes regulating stability and resilience on earth, six have now passed beyond the boundary that defines their safe operating zone. In that sense, the climate crisis is only one dimension of the nature crisis; pollution, freshwater, land use and biodiversity are also all in critical states.

The global decline in nature and biodiversity is driven to a great extent by market failures, including the overexploitation of public goods, the mispricing of nature in economic systems and a lack of appropriate regulation to redress this. Addressing the biodiversity crisis is therefore in line with the EBRD’s transition mandate.

The EBRD will leverage its decades of experience in environmental protection and its position as a multilateral development bank (MDB) focused on the private sector, guided by the goals and targets of the Kunming-Montreal Global Biodiversity Framework to deliver on the commitments set out in COP26’s joint MDB statement on nature, people and planet.

The new paper outlines the EBRD’s role in scaling up action for nature and biodiversity, and how the Bank will apply its operating model to this essential element of economic transition.

In particular, the approach outlines how the Bank will:

Protect nature, by reviewing its Environmental and Social Policy to maintain good international practice in safeguarding and leveraging environmental due diligence to identify opportunities for Biodiversity Net Gains.

Invest in nature, by exploring new models for financing in three main areas: blue-green infrastructure, pollution prevention and the circular economy, and nature governance. This will include engaging in policy dialogue and working with donors to address market failures, incentivise better operational practices and develop new nature finance models.

Disclose nature-related information, by observing relevant disclosure standards and timelines for reporting on nature impacts and dependencies, and working closely with other MDBs to align on definitions and reporting principles. The EBRD will also support its clients in making nature-related disclosures and sharing biodiversity baseline data through the Global Biodiversity Information Facility using a technical guidance document that the EBRD recently developed.

EBRD Director, Environment and Sustainability Adonai Herrera-Martinez. said: “The EBRD approach to nature reflects the institutional effort being made to scale up nature action. The approach demonstrates the Bank’s alignment with its mandate, highlights its experience in contributing to the restoration of degraded ecosystem and provides a vision for doing more for nature in future. We are delighted to launch this approach at COP28 and look forward to supporting this agenda, which is very close to many of our hearts.”

EBRD Lead Climate Adaptation and Nature Finance, Rachael Barza said: “The EBRD has an opportunity to leverage its position as a private-sector and market-oriented MDB to influence real change and make a positive impact for nature and biodiversity. The actions outlined in the approach to nature will drive the Bank’s contributions to the global nature positive goal – something we must all support to ensure a sustainable future.”

The EBRD will work with its partners and donors to scale up nature action, including on finance, policies and disclosures. The Bank leads or is already part of several initiatives, such as the Blue Mediterranean Partnership , the Clean Oceans Initiative, the Clean and Healthy Ocean Integrated Programme and the public development bank call to deliver positive action for the ocean.