Countries often face situations where biodiversity is not positioned on the national agenda and, in that scenario, developing financial mechanisms or mobilizing resources will be much more difficult than when biodiversity is in the mainstream of the country. Safeguarding diverse ecosystems ensures invaluable services essential for sustainable development and improvements in human wellbeing. The livelihoods of individuals and the economic productivity of firms are highly dependent on sustainable supplies of water, forests, -fisheries, fertile soils, pollinators, coral reefs, mangroves and other forms of biodiversity. This is especially the case for the poorest people directly dependent on natural resources and those enterprises active in economic sectors such as agriculture, hydropower and tourism. Biodiversity thus plays a central role in achieving the Sustainable Development Goals. The Biodiversity Finance Initiative (BIOFIN) is a global partnership addressing the biodiversity -finance challenge in a comprehensive manner. The Initiative provides an innovative methodology enabling countries to measure their current biodiversity expenditures, assess their ¬financial needs in the medium term and identify the most suitable ¬finance solutions to bridge their national biodiversity ¬finance gaps.
The experience is relevant because public investment in Peru directly affects the NBSAP implementation. Without clear public policies and investment mechanisms, the public investment can be jeopardized towards Biodiversity needs.
Peru is one of the most mega diverse countries in the world, with 27 of the world's 32 climates, 84 life zones and 71% of tropical glaciers. This is very relevant, considering that the poorest population depends more on ecosystem services.
Biodiversity in Peru was not seen as an asset by the authorities, therefore public investment in Peru is an attractive way that could fund a big part of the finance gap to achieve the NBSAP goals. The positioning of biodiversity as an asset for development was not substantive; and this recognition is essential to promote the creation of financial mechanisms that are accepted by politicians and decision makers.
The action taken: The Peruvian government already had a draft document on “Policy Guidelines for Public Spending on Biodiversity”
- In Peru, the Ministries of Environment and Finance had limited dialogue regarding Biodiversity
- BIOFIN team approached separately the Finance and Environment Ministries to identify if there was a similar vision and approach • Given that decision makers from both institutions had similar views on Biodiversity, BIOFIN started to serve as a facilitator
- BIOFIN started to “translate” the different languages between institutions and to prove that it was possible to work together on these topics
- BIOFIN involved directives and operative staff in the design of the Policy documents. Also, legitimate third parties like GIZ were involved in the process.
- Besides facilitation, BIOFIN provided the technical expertise from the BIOFIN national and global team
- To strengthen the relationship between the Ministries, BIOFIN fostered a shared view to allow reaching consensus
Directly involve the decision makers of key institutions in the development of the tools.
Perseverance: participation is needed until the tool is approved.
External qualified teams can serve as facilitators in these processes.
- Raising government empowerment and awareness regarding Biodiversity: nature has been recognized as capital and therefore, needs to be managed to maintain the provision of goods and services needed for economic activities.
- Public policy results - Three public policy documents (norms): (1) Overall guidelines for public investment projects, (2) Policy guidelines for public investment in Biodiversity, (3) Guidelines for investment Project formulation on Biodiversity
- All public investments on Biodiversity are now ruled by the Policy Guidelines for Public Spending on Biodiversity. These guidelines are mandatory as they are formal norms now.
- Biodiversity institutionalization and sustainability