2. Disclosures and investors are driving action
The shift towards nature-based solutions is being driven by two interrelated factors for CEOs and boards to consider.
First, with disclosure requirements evolving, there’s been a shift to embracing double materiality. This requires companies to disclose the impact of sustainability factors on the company as well as its own impact on natural ecosystems.
Second, investors are increasingly considering double materiality and adhering to frameworks like the Taskforce on Nature-related Financial Disclosures. This may lead investors to avoid companies that aren’t disclosing their impact on nature.