European Commission launches ‘Roadmap towards Nature Credits’
In a major move to bridge the biodiversity funding gap, the European Commission has launched a new roadmap to develop a market for nature credits, seeking to reward those who actively contribute to ecosystem restoration and conservation.
The European Commission has unveiled its Roadmap towards Nature Credits, a new initiative designed to unlock private investment for biodiversity and ecosystem restoration across the EU. The roadmap aims to complement public funding by creating a market-based mechanism that rewards nature-positive actions, such as wetland restoration and sustainable land management.
Nature credits are emerging as a tool to value and monetise biodiversity, allowing investors, companies, and citizens to finance environmental restoration efforts. In return, project developers, including farmers, foresters, landowners, and local communities, can generate new income streams whilst contributing to climate resilience and ecosystem recovery.
To build confidence in this emerging market, the roadmap calls for robust certification systems and targeted public seed funding to support early-stage initiatives and attract private capital. With strong governance and science-based standards at its core, the initiative presents an opportunity for businesses and investors to shape a credible, high-integrity market that delivers broad benefits for both nature and local communities.
The Commission emphasised the urgent need to close the EU’s €65 billion annual biodiversity funding gap, warning that climate and nature risks could cost businesses up to 7% of their profits over the next decade if left unaddressed. It has therefore committed to “allocating 10% of its budget to biodiversity by 2026-2027 and doubling its external biodiversity spending to EUR 7 billion”.
“We have to put nature on the balance sheet,” said Commission President Ursula von der Leyen. “When well-designed, nature credits provide an efficient, market-driven way to reward those who protect our ecosystems.”
Pilot projects are already underway in France, Estonia, and Peru, supported by the EU’s Green Assist advisory initiative, which is helping to test certification frameworks and financing models. The advisory initiaive hopes to build a strong foundation for scaling up nature credits across Europe and worldwide, with the roadmap further developing these markets in due course. The roadmap opens a public consultation until 30 September 2025, with an expert group to guide development of standards and governance.
The initiative aligns with the EU’s Nature Restoration Law and Clean Industrial Deal, as well as the Kunming-Montreal Global Biodiversity Framework, marking a significant step in integrating natural capital into Europe’s economic system.
Read the press release here
Read the full roadmap here
