Smart Net-Zero

World Economic Forum (WEF) | Source | Report |

The report presents a comprehensive financial framework to scale nature-based solutions (NbS), identifying 10 priority financial solutions based on 2 criteria: scalability and ability to generate nature impact. These include sustainability-linked bonds, thematic bonds, impact funds, environmental credits, debt-for-nature swaps, and Natural Asset Companies (NACs)—a new asset class capturing the full economic value of ecosystems as equity. The report situates these innovations within the global policy landscape, emphasizing that under the Kunming–Montreal Global Biodiversity Framework (GBF) Target 19, at least USD 200 billion per year must be mobilized to close the biodiversity finance gap. To accelerate adoption, it outlines enabling measures including green taxonomies, outcome-based payment mechanisms, and improved MRV. Remaining challenges include limited bankable project pipelines, governance inconsistencies, and insufficient jurisdiction-level capacity to implement NbS at scale.