Page 58 - WEF Reoprt 2020

REUTERS/PAOLO SANTOS

Beyond policy interventions, stemming the Later in 2020, governments will gather in
impacts of biodiversity loss may require Kunming, China, to revisit global targets
a fundamental shift in thinking about the on protecting ecosystems and halting
economic value of nature. Gross domestic species loss. This is a critical moment: as
product (GDP), the primary performance climate change exacerbates ecosystem
indicator for economies, fails to account for collapse, we could be causing irreversible
“natural capital”—the stock of a country’s ecosystem damage with serious economic
ecosystems, natural resources and human and social consequences. Some of
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capital. Businesses, governments and the most serious impacts will not occur
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individuals would be better served by gradually, but rather suddenly and violently,
another metric—or series of metrics—that as critical thresholds are breached.
more accurately describes an economy’s Messaging around biodiversity loss and
overall health, thus incorporating the costs its impacts is key to underscoring the
of ecosystem degradation. The Gaborone meaning and impact of biodiversity loss
Declaration for Sustainability in Africa, for for societies. Consumers also have a role
example, is encouraging member countries to play in demanding sustainable policy-
to use metrics such as “ecosystem valuation” making and products.
and “natural capital accounting” in measuring
economic activity and decision-making. 82 The rapid degradation of our life support
system means a lot more is needed. As
The most effective solutions may imply we find ourselves at the doorstep of the
significant disruption or shifts to existing “sixth mass extinction”, both businesses
business models. For example, the fashion and regulators have a huge role to play
industry could reduce its impacts on in shifting paradigms about who pays for
biodiversity by shifting towards transforming the externalities created by business-as-
old clothes into new ones and creating usual. The World Economic Forum will
garments that are durable rather than be publishing the New Nature Economy
disposable—an opportunity worth US$560 Report—to be released in three parts during
billion. Extractive industries’ negative 2020—setting out risks, key transformation
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impacts on biodiversity could be mitigated pathways and financing for a nature-
if mining companies were to move to a positive economy. We have the science and
resource services model, in which the evidence required to pivot in this direction,
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companies retain ownership of metals over but there is an acute need for champions
their lifecycle and keep them in use for as who can shift systems and prioritize
long as possible. investment for safeguarding nature.

The Global Risks Report 2020 53