Aligning Development Finance with Nature's Needs

Published by:

F4B

Aligning Development Finance with Nature’s Needs:

Protecting Nature’s Development Dividend” uses readily

available data to estimate the dependency of development

finance institutions’ (DFIs’) collective balance sheet on

vulnerable nature (“dependency risk”), alongside the

potential damage to nature from their lending activities

(“nature at risk”). 


We estimate aggregate balance sheet risk

of over 450 DFIs by taking a representative sample of five

multilateral development banks (MDBs). For these five MDBs,

we estimate “dependency risk” and “nature at risk” using

publicly available information on their lending activities.

The results are then scaled upwards to reach the total value

of assets held by DFIs globally. It shows that any financial

institution can and should make a credible, first-pass,

biodiversity-related stress-test of their balance sheet.


Comments are welcomed. Please direct these to:

Charlie Dixon - charlie.dixon@vivideconomics.com

FINANCE FOR BIODIVERSITY Initiative

contact@f4b-initiative.net

+44 (0) 844 8000 254

© 2020 FINANCE FOR BIODIVERSITY Initiative

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