Global Nature Positive Summit: Insights for Financial Institutions
The Global Nature Positive Summit, held in Sydney from 8-10 October, marked a pivotal moment in the intersection of nature conservation and business and finance interests. With diverse representation from government, corporates, financial institutions, research bodies, environmental organizations, and First Nations communities, the Summit underscored the critical importance of integrating nature-positive approaches into mainstream business strategies and financial decision-making, as well as the need for increased collaboration across stakeholders to address nature loss.
See below ASFI’s key takeaways from the Summit:
Nature in the boardroom. One of the most significant takeaways from the Summit was the evident shift in the business community's approach to nature and conservation. There was a notable increase in participation from the business and finance sectors, highlighting that nature-related issues are now gaining traction at boardroom and executive levels. However, the focus for most organisations remains predominantly on understanding risks, dependencies, impacts, and opportunities rather than on setting strong targets or integrating comprehensive nature-positive strategies into business operations.
Collaboration and First Nations leadership. A strong emphasis was placed on cross-sector collaboration and the inclusion of First Nations knowledge and perspectives. One of the few announcements from the Summit was the establishment of the Nature Positive Matters Network, which seeks to bring businesses together to drive private investment in nature repair, including through uptake of nature-related reporting, data collection and pilot programs. Consistent with the Government’s Nature Positive Plan, there was also a strong emphasis on working with First Nations communities and drawing on Indigenous expertise as essential for enhancing ecosystem management and achieving sustainability goals. Equally, there was recognition of the need to connect scientific and conservation communities with business in order to prioritise different aspects of nature agenda.
Integration with climate. The intersection between nature conservation and climate action was a recurring theme. Businesses were encouraged to integrate nature within their climate action plans, with recognition that nature-based solutions are a key part of addressing climate change. The rising pressure from international investors and regulators for greater transparency and action on nature and biodiversity is reshaping the competitive landscape - businesses must adapt to these increasing expectations and not see climate as a siloed issue.
Nature as financial risk and opportunity. For financial institutions, the Summit highlighted the growing importance of incorporating nature-related considerations into investment decisions and risk management frameworks. Nature loss poses systemic risk across the economy, while financial institutions also have exposure to specific risks and opportunities across particular locations and asset classes. Institutions must integrate this into financial decision making, not only to mitigate risks but also to seize new opportunities in a rapidly evolving market.