Half of global GDP at risk due to nature loss, analyst says

2021 05 20

Over half of the world’s GDP is at risk due to nature loss. Akanksha Khatri, Head of the Nature Action Agenda at the World Economic Forum outlines 5 reasons why biodiversity matters to securing jobs, health and the economy ahead of International Biodiversity Day.
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 5 reasons why biodiversity matters for our jobs, health and economy
by Akanksha Khatri, Head of the Nature Action Agenda at the World Economic Forum

Key points:

  •     Biodiversity is declining fast than at any other time in history and this has grave consequences on our livelihoods, health and prosperity.
  •     Over half of the world’s GDP is at risk due to nature loss and further encroachment into natural ecosystems increases the risk of future socioeconomic shocks such as pandemics.
  •     According to a recent World Economic Forum report, transitioning towards nature-positive economic models in key sectors could provide almost 400 million jobs and over $10 trillion in annual business value by 2030.

Further details:
On International Day for Biological Diversity, we must celebrate the potential of nature to solve many of the global problems we are facing and take stock of the steps towards a nature-positive future that many organisations have taken in recent years.  
Unilever, Walmart and Kering, have announced ambitious commitments to address biodiversity loss in their business activities. The business value of doing so is clear.
Here are 5 reasons why biodiversity matters to jobs, health and the economy:

Biodiversity ensures health and food security.

Millions of species work together to provide us with the large array of fruits, vegetables and animal products essential for a healthy, balanced diet. Three crops – wheat, corn and rice – provide almost 60% of total plant-based calories consumed by humans. This simplification of diets has led to reduced resiliency in our supply chains and on our plates, with one-third of the world suffering from micronutrient deficiencies.

Biodiversity helps fight disease.

Plants are essential for medicines. For example, 25% of drugs used in modern medicine are derived from rainforest plants. Biodiversity loss is also linked to increases in disease as humans encroach into untouched nature through deforestation and urbanisation. An estimated 43% of emerging infectious diseases come from wildlife.

Biodiversity benefits business.

There is great potential for the economy to grow and become more resilient through protecting biodiversity. Global sales of pharmaceuticals based on materials of natural origin are worth an estimated $75 billion a year, while coral reefs are essential to food and tourism. Protecting biodiversity in agriculture and food production alone could unlock $4.5 trillion per year in new business opportunities by 2030, while also preventing trillions of dollars worth of social and environmental harms.

Biodiversity provides livelihoods.

Forests are the source of livelihoods for over 1.6 billion people. Additionally, the “restoration economy” – the restoration of natural landscapes – provides more jobs in the United States than most of the extractives sector, with the potential to create even more. Nature-positive businesses can provide cost-effective, robot-proof, business-friendly jobs that stimulate the rural economy without harming the environment.

Biodiversity protects us.

Biodiversity makes the earth habitable. Biodiverse ecosystems provide nature-based solutions that buffer us from natural disasters such as floods and storms, filter our water and regenerate our soils. Protecting and restoring natural ecosystems is also vital to fighting climate change. Nature-based solutions could provide 37% of the cost-effective CO2 mitigation needed by 2030 to maintain global warming within 2°C.

Source World Economic Forum


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