Nature is a critical component of urban resilience but cities, as urbanization continues to expand globally, are facing significant risks due to nature loss. The latest report by the World Economic Forum (WEF), Nature Positive: Financing the Transition in Cities, highlights the urgent need for increased investment in nature-based solutions to secure a sustainable future while enhancing economic prosperity and social well-being.
Nature-based solutions are commonly defined as strategies that harness natural processes and promote biodiversity and ecosystem resilience. Their goal is to work with nature rather than against it, offering sustainable alternatives to traditional infrastructure and development methods. Examples of nature-based solutions include urban green infrastructure such as green roofs and walls to help absorb rainwater and reduce urban heat, permeable pavements and rain gardens to better manage stormwater, wetland restoration programs for improved flood control, sustainable agroforestry to support local biodiversity.
Despite the increasing demand for urban resilience measures, nature-based solutions receive only 0.3% of global urban infrastructure spending, reports the WEF. Over 80% of biodiversity financing comes from public sources, with only $35 billion from private investments. Between 2018 and 2023, less than 10% of funding from multilateral development banks was directed toward urban nature projects.
Budget constraints are not the only obstacle. Many cities lack nature-oriented strategic frameworks: according to the report, only 37% of the world’s top 500 urban conglomerates have clear policies for nature conservation.
However, local administrators are increasingly aware of the benefits of nature-positive politics, so they are looking for new ways to integrate nature into city planning and ensure long-term resilience. The exploration of new financial mechanisms such as green bonds, blended finance, and creditworthiness programs may contribute to attracting private investments and bridging the funding gap.
Any suggestions to accelerate the design and implementation of nature-based solutions in our cities?
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