The sixth mass extinction and the free fall of biodiversity threaten a million species. Natural disasters and environmental scandals, such as PFAS, demonstrate the complex interplay between humans, industry and the environment. Climate protection is trampled underfoot in the geopolitical chaos of 2025.
Biodiversity protection objectives are being called into question, as is the law on the protection of biodiversity. French anti-deforestation postponed to December 2025. In Germany, RWE reduces its investments in renewable energies. The European Union simplifies reporting obligations with the draft OMNIBUS law. In the United States, Trump's re-election leads to withdrawal from the Paris Agreement and a decline in green investment. COP16 in Rome adopts a five-year work plan to halt the destruction of nature.
Against this backdrop, finance, which has made a major contribution to meeting these challenges, needs to adjust its approach through adaptation, simplification and education.
Clarifying the challenges of protecting biodiversity
Biodiversity, defined by Noss in 1990, is essential for ecosystem services. Overexploitation of resources weakens these services, exposing the economy to colossal repair costs. Biodiversity conservation is thus a strategic issue for companies, raising the question of the ethical approach versus the need to save dependent industries.
The two perspectives of protection are interconnected: preserving resources helps to protect biodiversity, limiting the impact of human activities.
Defining the financial impact on biodiversity
Financiers are looking for a single indicator to measure impact, but the diversity of parameters makes this impossible. A sectoral approach is more appropriate for structuring decision-making and optimizing conservation measures. Indeed, industries such as agriculture and fishing exert immediate pressure on biodiversity, while other sectors have an indirect impact via pollution and deforestation.
That's why IPBES NEXUS report underlines the urgent need for a systemic approach to improve the effectiveness of public policies.
Create sector indicators
Awareness-raising and training are essential. The Cour des Comptes report highlights the inadequacy of training on the challenges of preserving biodiversity and, more broadly, the ecological transition in higher education.
The training of corporate executives is also crucial to encourage eco-responsible decision-making. To this end, Terra Impact Society and Ethifinance support companies in implementing sustainable strategies adapted to economic realities.
Because green finance can become a powerful driving force in the solution to the biodiversity crisis. By simplifying and specializing sector standards and indicators, clarifying the issues at stake and investing in education, the financial sector can drive profound and lasting change.
The ecological transition is an opportunity to restore meaning to the economy, forge more robust models and reconcile growth with respect for living things. The future can flourish if we decide together to cultivate it.
Discover our experts' approach Anne-Laure Noat, Romain Varène and Marie-Christiane Diouf by downloading the study!
