According to a new report from the United Nations Environment Programme (UNEP), investments in nature-destructive projects exceed spending on its protection by 30 times. This document is based on data collected in 2023.
The authors of the report state that the total volume of financial flows related to environmentally harmful activities amounts to $7.3 trillion. Of this, $4.9 trillion represents private investments, mainly in the sectors of utilities, industry, energy, and raw material extraction.
Government subsidies add another $2.4 trillion to this amount, which is directed towards fossil fuel extraction, the development of non-ecological transport, and harmful agricultural and water use practices.
In 2023, investments in ecological solutions amounted to only $220 billion, of which nearly 90 percent came from public sources.
UNEP calculated that to achieve sustainable development, investments in nature protection need to be increased by at least 2.5 times — to $571 billion per year, which is only 0.5 percent of global GDP.
The report emphasizes that redirecting private and public capital flows is a key tool for achieving sustainable development. Its authors propose a framework concept that will help policymakers and businesses gradually implement reforms and increase the number of environmentally friendly solutions across various sectors of the economy.
This concept aims for a gradual phase-out of destructive subsidies and investments in favor of funds that promote nature conservation. It also offers specific recommendations for public and private companies at all levels of supply chains.
