Extreme weather events are becoming more common due to climate change. Kuala Lumpur, Malaysia. UN report: 30 more money is spent on destroying nature than on protecting it Climate and environment
Investments in activities that destroy nature are 30 times higher than investments in measures to protect it. This is reported in a new report from the United Nations Environment Program (UNEP), which was published on Thursday.
The report is based on data for 2023. Its authors specify that the total volume of financial flows associated with activities harmful to nature reaches $7.3 trillion. Of this, $4.9 trillion is spent in private investment, largely concentrated in sectors such as utilities, industrials, energy and raw materials.
Another $2.4 trillion is government subsidies for fossil fuel production, construction, the use of unenvironmentally friendly modes of transport, and environmentally damaging agricultural and water management practices.
And only $220 billion in 2023 was invested in solutions that are designed to protect nature. Almost 90 percent of them came from government sources.
According to UNEP estimates, investments in such solutions need to be increased by at least 2.5 times – up to $571 billion per year. This amount represents just 0.5 percent of global GDP.
“When you look at the cash flow, the scale of the task ahead becomes clear. We can either invest in the destruction of nature or contribute to its restoration— there is no compromise,” said Inger Andersen, Executive Director of UNEP.
The use of non-ecological transport leads to severe environmental pollution. Bangkok, Thailand.
“This report offers leaders a roadmap for changing current trends and working with nature rather than against it,” she added.
Redirecting private and public capital flows is the most powerful tool for reorienting markets towards sustainable development, the report notes. Its authors presented a framework designed to help politicians and businesses gradually implement reforms and increase the number of environmentally friendly solutions in all sectors of the economy.
This concept charts a path to phasing out destructive subsidies and investments while scaling up nature-friendly investments. It offers concrete options for public and private companies throughout their supply chains.
The report provides examples of how this approach is already being used by governments and businesses around the world: greening urban areas; integration of nature-based solutions into road and energy infrastructure; production of building materials with a negative carbon footprint.
The most important principle of nature-friendly investments is that they build on local environmental, cultural and social conditions while ensuring inclusivity and equity, the report authors emphasize.
