Sovereign Decarbonization Program: Biodiversity Loss and Sovereign Credit Ratings

Biodiversity loss, decline of ecosystem services, and overall environmental degradation can hit economies through multiple channels. The combined macroeconomic consequences can impact sovereign creditworthiness. Yet, the methodologies published and applied by leading credit rating agencies (CRAs) do not explicitly incorporate biodiversity and nature-related risks.  A consistent approach to integrating nature- and biodiversity related risks into debt markets is long overdue. 

EMIA hosted a discussion to help investors better understand how to embed Biodiversity consideration in their financial decision-making. 


Moritz Kraemer, Centre for Sustainable Finance, SOAS, University of London

Louis de Montpellier, Senior Advisor, F4B’s Debt Leadership Group

Barbara Oldani, Director of the Sovereign Decarbonization Program, EMIA (moderator).