A new roadmap on how to integrate nature into economic decision-making in Ecuador has now been launched as part of the Nature Transitions Support Programme (NTSP). The NTSP works with governments to develop nationally-led action plans aimed at shaping policy environments that enable sustainable and inclusive economic transformation, so that people, nature and the economy can all thrive. A key part of this work is the development of roadmaps tailored to national contexts, which identify integrated solutions that improve biodiversity outcomes, sustain economic prosperity and support human well-being.  

By conserving and sustainably managing ecosystems, countries can generate new wealth and safeguard livelihoods 

Ecuador is one of the world’s most biodiverse countries, featuring an abundance of landscapes, from volcanoes and high Andean mountains to the Amazon rainforest and coastal systems. In the new Roadmap, analysis of Gross Domestic Product (GDP) data from the Central Bank of Ecuador using the ENCORE knowledge base also highlights that at least a third of the country’s economy is moderately or highly dependent on nature. The country’s latest National Biodiversity Strategy and Action Plan (NBSAP) goes even further, underlining that the six most important ecosystem services underpin over 80% of Ecuador's GDP. 

Estimates of economic growth that do not factor in these dependencies on nature fail to account for the cost of nature loss. For example, the roadmap finds that national development trajectories which do not account for nature-related dependencies and the ongoing decline in nature are likely to overestimate future growth by more than twenty per cent. However, conserving and restoring Ecuador’s natural landscapes has the potential to generate an additional USD 20.11 million per year. Policies that protect nature not only increase wealth but also support people’s livelihoods and well-being by sustaining the ecosystem services on which they depend. These services range from pollination that enhances food security through to sediment retention that purifies water and forms a natural defence against flooding.

Co-designing a roadmap for economic transformation, tailored to national priorities

The Dasgupta Review on the Economics of Biodiversity sets out a clear framework for integrating nature into economic decision-making. The NTSP brings together national governments and local stakeholders with technical experts to co-design and co-deliver projects aimed at implementing the Review’s recommendations at a national level. In practice, this involves working with governments to scope opportunities, co-design projects and develop potential policy responses.  

In this case, the project team engaged a range of national government departments to scope Ecuador's policy landscape, to map out new and existing opportunities for nature. UNEP-WCMC's biodiversity experts worked with colleagues from the University of Minnesota and inputs from in-country partners to model the potential differences between a 'business-as-usual' and a restoration scenario. This empirical work highlighted how traditional economic estimates that do not explicitly include nature tend to overestimate growth. It also identified concrete opportunities for restoration that can simultaneously contribute to growth and development.

Three key opportunities to ensure future growth also protects its foundations in nature 

From engagement with government stakeholders, three key opportunities to enable sustainable economic transformation were identified. First, is the use of spatial data related to natural capital, from assets like forests through to ecosystem services like pollination, to inform decisions on land-use. These data can be used to assess and track depletion or restoration of domestic natural capital in its different forms. Data on land use and the provision of ecosystem services can also inform the modelling of different development scenarios, to see how decisions will affect specific ecosystems and their benefits for people and the economy. These insights can inform national conservation strategies, as relevant data can be used to determine which areas require additional protections to safeguard nature for generations to come. 

Second, is the opportunity to incorporate these data into national-level economic planning to ensure that nature-related dependencies and risks are accounted for, and nature-related opportunities are identified. This enables governments to develop fiscal policy and economic plans with nature in mind, leading to a more resilient economy.  

Finally, there is an opportunity to use this knowledge to identify and encourage the uptake of new sustainable sectors, such as in relation to the bioeconomy. This includes creating incentives for the private sector to invest in these areas and to benefit from thriving nature. 

Achieving the Kunming-Montreal Global Biodiversity Framework’s 2050 Vision of living in harmony with nature requires a shift towards economies that are built with nature at their core. By engaging governments and other national stakeholders, the NTSP is able to develop country-specific opportunities to sustainably transform economies in practice, so they support people and the planet. The NTSP, now in its second phase, will continue to support national stakeholders to implement these opportunities to build economies that thrive in harmony with nature. 

Access the roadmap here: https://resources.unep-wcmc.org/products/WCMC_RT793

The NTSP is funded by the United Kingdom Government's Department for Environment, Food and Rural Affairs (DEFRA) through the United Nations Environment Programme (UNEP). This roadmap was produced in collaboration between the UN Environment Programme World Conservation Monitoring Centre, UN Development Programme, the National Institute of Biodiversity in Ecuador and the University of Minnesota. 

For enquiries about this blog and the NTSP, please contact communications@unep-wcmc.org 

Main image: Thomas, Adobe Stock, #467349345