Key Impact Points:
- 45 million hectares of land and sea are now under improved conservation or management via WBG-backed projects in FY2024.
- $4 billion was directly invested in biodiversity and ecosystem services across nearly 60 countries.
- $600 million in private capital is expected to be mobilized through World Bank environmental operations approved between FY22 and FY24.
Scaling Nature Investments and Conservation
The World Bank Group (WBG) is advancing sustainable development by integrating nature into economic policy and development planning. In fiscal year 2024, projects in the active portfolio brought approximately 45 million hectares of landscapes and seascapes under enhanced conservation or management.
This was driven by $4 billion in direct investments across biodiversity and ecosystem services in nearly 60 countries.
Mobilizing Private Finance Through Innovation
To help close the financing gap for implementing the Kunming-Montreal Global Biodiversity Framework, the World Bank deployed a range of innovative financial instruments. From FY2022 to FY2024, about $600 million of private capital is expected to be mobilized through environment-related operations.
These include thematic bonds, outcome-based bonds, sustainability-linked loans, and risk guarantees that help de-risk private investments.
“The WCB [Wildlife Conservation Bond] model provides a new blueprint for the way conservation is financed… and we are hopeful that this structure can be replicated across various geographies and for the conservation of various species.” — Oliver Withers, Biodiversity Lead, Credit Suisse
“The approval of this credit instrument is another innovative step for the country… with a commitment to non-deforestation of the native forest.” — Azucena Arbeleche, Minister of Economy and Finance, Uruguay
Tracking and Advancing Biodiversity Finance
The World Bank, IFC, and MIGA jointly developed the Nature Finance Tracking Methodology to systematically monitor contributions to the Kunming-Montreal Global Biodiversity Framework. Their Global Challenge Program on Forests for Climate, Development, and Biodiversity is designed to scale financing for forest-related investments, engaging both public and private sectors.
The WBG is also collaborating closely with other Multilateral Development Banks (MDBs) on climate finance reporting, nature finance tracking, and circular economy initiatives. In August 2023, the WBG and the Inter-American Development Bank launched a partnership to support net-zero-deforestation in the Amazon, strengthen Caribbean climate resilience, and expand digital access across Latin America.
Nature Analytics and Decision-Support Tools
The WBG supports countries with tools, analytics, and knowledge to integrate nature into economic decision-making. Programs like the Changing Wealth of Nations database and the Geospatial Platforms and Sovereign ESG Data Portal help governments assess sustainability and risks related to natural capital.
In FY24 alone:
- Ghana used ecosystem mapping and datasets to inform a landscape restoration project
- Maldives applied fisheries analysis to support sustainable fisheries management
- Ghana, Maldives, Nepal, and Bangladesh used nature analytics in projects worth $50 million
The Global Program on Sustainability has helped 30 countries develop natural capital accounts to date.
Strategic Technology Partnerships
The WBG is strengthening partnerships with leading technology organizations such as NASA, the European Space Agency, and the Group on Earth Observations to apply artificial intelligence and digital tools that improve measurement of nature impacts.
The Rhino Bond in South Africa was made possible through collaboration with bond investors and the Global Environment Facility (GEF). Investors’ forgone coupon payments were used as upfront capital, while GEF provided potential performance-based payments.
Looking Ahead: Scaling Up for a Blue, Green, and Clean Planet
The WBG will continue to scale up nature finance and analytics, with new focus areas including:
- Enhancing sustainable forest economies in Amazon, Congo, and Asian forests
- Expanding open data efforts through initiatives like the Livable Planet Observatory
- Hosting knowledge-sharing efforts such as hackathons and the Landscape Knowledge Academy
Future collaboration with MDBs, the OECD, and other partners will be essential to boost financing and accelerate the implementation of the Kunming-Montreal Global Biodiversity Framework.
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