OVERVIEW
A significant increase in finance and investment is needed to turn the tide on deforestation and forest degradation.
An estimated US$460 billion annually is needed to halt and reverse forest loss by 2030. Yet, governments spend - at a minimum - US$470 billion per year just on agricultural subsidies that harm biodiversity, forests and other natural ecosystems.
Solutions to tackle deforestation and forest degradation must entail a fundamental shift in finance systems and redirecting finance away from fossil fuels, deforestation and unsustainable food production.
WWF’s Forest and Finance Practices work to encourage the financial sector to 'green finance, and finance green', to drive a meaningful shift in finance to achieve global goals on climate, nature, and development.
OUR WORK
- Green Financial Solutions: Although finance for forests is not currently flowing at the speed and scale required, there is growing interest from the private sector in sustainable investments, as banks and other financial institutions make ambitious sustainable finance commitments towards 2030. WWF supports the deployment of capital to companies, projects, and activities through green financial solutions such as the Project Finance for Permanence (PFP) approach, the Tropical Forest Forever Facility (TFFF), Bankable Nature Solutions, Nature-based solutions platforms and guidance on carbon finance.
- Green Finance for Landscapes: We are constantly innovating for conservation solutions that reduce pressure on nature, restore nature, and ensure long-term ecological resilience while respecting human rights and fostering well-being and equitable outcomes. WWF actively supports the acceleration of science-based landscape conservation in places where we work, leveraging a full set of complementary financial tools and solutions. This is done through our Forest Landscape Restoration initiatives in Africa and Latin America, the Forests Forward programme and our efforts with partners in the Congo Basin to increase international financial flow to those high integrity forests.
- Greening Financial Systems: It is imperative to influence financial regulations, supervision, and public policies to green the financial system. A key pillar of this work is our Greening Financial Regulation Initiative, which brings together a broad network of environmental scientists and finance practitioners to support the transition to a nature positive, net zero economy. We are also actively working with partners to drive awareness and action on agricultural subsidies that harm forests and other natural ecosystems play a major role in driving deforestation and conversion around the world. Repurposing these subsidies can contribute towards halting deforestation as well as rechanneling a big amount of finance towards a forest-friendly, just and equitable agricultural production.
- Greening Financial Institutions (FIs): Banks, insurers and asset managers have significant influence on other stakeholders, such as on those that require their services, their peers and governments. WWF is actively engaging and influencing FIs through programmes such as Forests Forward.