About Nature-3B

The project will develop innovative financial solutions including Nature-Protecting Benchmarks for investors and Nature-Protecting Bonds aimed at mobilising private capital to support biodiversity conservation and ecosystem restoration. These instruments are designed to complement existing sustainable finance initiatives and align financial investments with major biodiversity frameworks such as the EU Biodiversity Strategy for 2030 and the Kunming-Montreal Global Biodiversity Framework. In addition, NATURE-3B will develop a set of analytical tools for central banks, regulators, and financial institutions to assess nature-related financial risks. 

These tools include dashboards, risk databases, geospatial scenarios, stress-testing models, and AI-based analysis of biodiversity disclosures. By integrating ecological data with financial modelling, the project aims to improve risk pricing, strengthen financial resilience, and redirect capital flows toward nature-positive activities. The project combines academic research with stakeholder engagement and policy collaboration. Through partnerships with financial institutions, policymakers, and international organisations, NATURE-3B aims to mainstream biodiversity considerations into financial markets and economic governance across Europe.

• Analyse economic dependencies on ecosystem services and their implications for stock pricing 
• Develop geospatial nature-economy models and scenarios for assessing biodiversity-related financial risks | Quantify macro-financial stability implications of biodiversity loss.
• Design analytics and tools for environmental risk management and portfolio alignment with biodiversity goals.
• Develop biodiversity-aligned investment benchmarks and assessment tools
• Create financial instruments and policy recommendations

• Developing geospatial biodiversity scenarios and nature-economy modelling frameworks. 
• Creating analytical tools and dashboards for assessing ecosystem service dependencies and financial exposure.
• Building macro-financial models and biodiversity stress-testing frameworks for financial systems.
• Designing new financial instruments such as Nature-Protecting Bonds and Nature-Protecting Benchmarks.
• Using AI-based tools for analysing corporate biodiversity disclosures and financial alignment.
• Engaging stakeholders through co-creation workshops, communities of practice, and policy dialogue.

• Limited existing methodologies for quantifying nature-related financial risks. 
• Lack of detailed geospatial biodiversity scenarios for finance. 
• Difficulty integrating ecological data with financial decision-making. 
• Underdeveloped biodiversity-focused financial instruments. 
• Complexity of modelling systemic, cascading, and compound nature-related risks.

Funding

The project is funded through the Horizon Europe programme, specifically the call HORIZON-CL6-2024-BIODIV-01focusing on biodiversity, economics, and finance. Grant agreement ID: 101182455