Biodiversity

Various policy instruments foster biodiversity protection. These policy instruments can be classified as regulatory (command-and-control), economic (incentive-based), and information and voluntary instruments. Regulatory instruments include standards and prohibitions on access or use of natural resources, such as pollution standards and protected areas. Economic instruments include fiscal instruments (taxes, fees and charges), tradable permit schemes, and payments for ecosystem services programmes. Information instruments include eco-labelling and voluntary corporate standards.

Addressing the multiple and growing pressures on biodiversity loss requires urgent action to strengthen existing policies and to implement additional policies.

All economic activities both impact and depend on biodiversity. However, the value of biodiversity and associated ecosystem services tends not to be reflected in economic decision-making. It is therefore critical to systematically integrate biodiversity considerations into national, sectoral (e.g. agriculture, fisheries, infrastructure), and subnational strategies, plans, programmes and projects.

Effective mainstreaming requires specific and measurable targets, well-designed measures to achieve these targets and indicators to track progress. It is vital to ensure the enabling conditions are in place for mainstreaming, such as strong institutional co-ordination, sufficient human and financial resources and quality data. Strengthening national capital accounting frameworks can help increase biodiversity’s visibility in policy making and appraisal. 

Finance for biodiversity is key to ensure effective action. Yet current finance flows for biodiversity are insufficient to halt and reverse biodiversity loss. Finance from all sources needs to be scaled up and aligned with the objectives of the CBD Kunming-Montreal Global Biodiversity Framework. OECD work on biodiversity finance provides data and evidence-based analysis to support efforts to: 

(i)  Better monitor public and private biodiversity finance

(ii) Assess and promote alignment of financial flows with biodiversity goals

(iii) Scale up and align economic incentives for biodiversity

(iv) Mobilise public and private finance and investment in biodiversity.