Sustainable finance and forest biodiversity criteria

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Sustainable finance and forest biodiversity criteria

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Business and biodiversity basics Identifying and measuring impacts and dependencies Integrating biodiversity into a business context Sustainable investment

How to promote sustainable investments in forest biodiversity? This EFI policy study sets out how forest-related biodiversity could be included in the EU Taxonomy, to help foster sustainable investments in forests.

The EU Taxonomy Regulation creates a common set of indicators and criteria to classify sustainable business activities and investments. While forest-related activities have been included in the EU Taxonomy within the criteria for mitigation and adaptation to climate change, they have so far been excluded from the criteria for the protection and restoration of biodiversity.

This report aims to fill that gap. Based on scientific evidence, it provides guidance for biodiversity-oriented forest management, proposes a set of 26 quantitative indicators, and provides examples of thresholds that would be applicable under the EU Taxonomy standard. New monitoring methods are presented to cost-effectively assess forest biodiversity and compliance with the Taxonomy.

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