The Inter-American Development Bank (IDB), IDB Invest, and IDB Lab launched today the 2024-2025 Natural Capital and Biodiversity Mainstreaming Action Plan, which aims to put biodiversity and natural capital more embedded within the Bank’s operations in areas where nature can support economic, social, and climate-smart development.
The action plan will also help countries achieve their nature-positive objectives. Aiming for a multifaceted approach, the action plan articulates how the IDB Group will integrate natural capital into its work, from the dialogues it holds with countries to project preparation and implementation, as well as the knowledge products the IDB Group generates, among other actions.
Latin America and the Caribbean is home to seven of the world's 25 biodiversity hotspots, the region accounts for 40% of the world's biodiversity, 30% of the freshwater, and almost 50% of the world's tropical forests.
However, these natural assets are not being tapped, and nature-based projects in the region are not achieving their full potential, primarily due to a lack of strategy, technical knowledge tailored to the region, installed institutional capacity, and available funding. In some cases, policies and economic incentives still have negative impacts on biodiversity.
“The Natural Capital and Biodiversity Action Plan is a huge step for the IDB Group in its commitment with nature,” said Ana María Ibáñez, IDB Vice President for Sectors and Knowledge. “We have confidence that the action plan will result in projects that not only enhance quality of life and regenerate biodiversity, but also offer economic development opportunities for people throughout Latin America and the Caribbean.”
Biodiversity plays a crucial role in the region's development and provides livelihood to diverse populations. About 20% of the jobs in the region are heavily dependent on ecosystem services, with a significant portion held by vulnerable populations such as the 42 million indigenous inhabitants of the Region.
Biodiversity and Institutional Strategy
Recently, the IDB Group launched its new Institutional Strategy, highlighting biodiversity, natural capital, and climate action as vertical priorities and cross-cutting issues to be mainstreamed throughout the portfolio in diverse sectors and countries, in an effort to support countries in harmonizing economic growth with environmental preservation and restoration.
The strategy establishes that the IDB Group will support the conservation, restoration, and sustainable management of terrestrial and aquatic ecosystems, work to reduce biodiversity loss, promote the transition to nature-positive economic models, integrate biodiversity values into policies, regulations, and fiscal planning, support policy coherence across sectors, and leverage public and private sector capabilities to drive investment into sustainable development efforts.
The Natural Capital and Biodiversity Mainstreaming Action Plan is a roadmap to support the implementation of these institutional commitments, and also marks an important step in the IDB's implementation of the MDB Joint Statement on Nature, People, and Planet, which IDB led at climate COP 26. The Action Plan will be reviewed by the IDB every two years to reevaluate socioeconomic and environmental conditions in Latin America and analyze the achievements, its limitations and areas for improvement.
As the region moves towards the 16th meeting of the Conference of the Parties (COP) to the Convention on Biological Diversity (CBD) in Cali, Colombia, scheduled for October and November, the IDB Group reaffirms its commitment to positioning the region as a nature powerhouse that generates jobs, provides economic opportunities and becomes nature-positive.
About the IDB
The Inter-American Development Bank’s mission is to improve lives. Founded in 1959, the IDB is one of the leading sources of financing for economic, social, and institutional development in Latin America and the Caribbean. The IDB also undertakes cutting-edge research projects and provides consultancy services on policies, technical assistance, and training to public and private clients throughout the region. Take our virtual tour.
About IDB Invest
IDB Invest, a member of the Inter-American Development Bank Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social, and environmental development in the region. With a portfolio of $21 billion in assets under management and 394 clients in 25 countries, IDB Invest provides innovative financial solutions and advisory services that meet the needs of its clients in a variety of industries.
About IDB Lab
IDB Lab is the innovation laboratory of the IDB Group, the leading source of development finance and expertise for improving lives in Latin America and the Caribbean. The purpose of IDB Lab is to drive innovation for inclusion in the region, mobilizing financing, knowledge, and connections to test early stage private sector solutions with the potential to transform the lives of vulnerable populations affected by economic, social, and environmental conditions. Since 1993, IDB Lab has approved more than $2 billion in projects deployed across 26 countries in Latin America and the Caribbean. Access our virtual tour.
Borges De Padua Goulart Janaina
Download the Natural Capital and Biodiversity Action Plan