Exploring Sustainable Finance for Biodiversity in Brazil and Colombia

The project Sustainable Finance for Biodiversity in Brazil and Colombia (SF4B)) project embarked on a transformative journey from September 2021 to March 2024. Aimed at bridging policymakers and financial market actors, SF4B focused on imparting knowledge and building capacity in preparing for and applying green taxonomies and other sustainable finance approaches. This initiative prioritized the imperative of conserving biodiversity and promoting its sustainable use in two of South America's most biodiverse nations.

Part of the prestigious International Climate Initiative (IKI) of the German Government, SF4B brought together esteemed partners: Frankfurt School of Finance and Management gGmbH from Germany, Fundação Getulio Vargas - Centro de Estudos em Sustentabilidade (FGVces) from Brazil, and Fondo Acción from Colombia.

Abstract of Project Objectives and Achievements

The overarching objective of SF4B was to foster dialogue and collaboration between financial institutions, including development banks, regarding biodiversity finance within the context of green and sustainable finance taxonomies and frameworks. Through targeted training sessions and exchanges, the project aimed to gauge the appetite of financial institutions for biodiversity finance, as well as their understanding of the demand and potential opportunities in this burgeoning field and standards for incorporating biodiversity institutionally.

The project introduced a prototype of a finance framework —that financial institutions could utilize to align their operations with biodiversity finance principles. This framework, while serving as a valuable starting point, acknowledged the need for customization to reflect national and regional framework conditions, as well as evolving market dynamics.

As a result of SF4B, a groundbreaking new book has been launched in Colombia in March 2024, marking a meaningful step forward in the country's efforts to finance its commitments to manage the biodiversity positively. Developed by Fondo Acción, the book, titled "Finanzas y Biodiversidad para Territorios Posibles," explores innovative financial mechanisms and strategies to support the protection of Colombia's biodiversity.

By providing practical guidance and fostering a deeper understanding of biodiversity finance, this book has the potential to open up new avenues for investment and action. It is expected to serve as a valuable resource for policymakers, conservation organizations, international cooperation agencies, companies, commercial banks, insurance companies, private or public investors, and individuals committed to conserving Colombia's biodiversity.

Looking Ahead

As SF4B concludes its journey, it leaves a legacy of enhanced knowledge, strengthened partnerships, and heightened awareness about the critical intersection of finance and biodiversity conservation. The insights gained from this project pave the way for continued efforts in mainstreaming biodiversity considerations into financial decision-making processes.

For more information please visit:

SF4B Website: Sustainable Finance for Biodiversity in Brazil and Colombia (SF4B) – Frankfurt School (fs-unep-centre.org) 

LinkedIn: https://www.linkedin.com/company/sf4b

IKI website – Resultados: Sustainable Finance for Biodiversity in Brazil and Colombia (SF4B) | Internationale Klimaschutzinitiative (IKI) (international-climate-initiative.com)