Biodiversity credits for nature capital: What CSOs need to know
This nascent market presents opportunities for companies to influence policy and ensure positive impact.
Biodiversity credits are emerging as a new mechanism to increase capital for nature protection and could soon be an additional instrument in the Chief Sustainability Officer’s toolbox – as long as they understand their risks and benefits.
Judging by the recent wave of nature and biodiversity commitments among global firms, as well as the new roles being created to lead these efforts, companies are starting to adopt a more holistic approach to climate action. Biodiversity disclosures have doubled among US-listed companies, and 320 firms worth US$4 trillion are due to publish their first nature-related disclosures aligned with the TNFD framework by the end of 2026.