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On 7th July 2025, the EuropeanCommission launched its Roadmap towardsNature Credits - a plan to unlock private investment in nature restoration and reward verified nature-positive actions.
Nature credits are emerging as a potential tool to support nature recovery - acknowledging that theUSD $700 billion annual funding gap cannot be bridged by public finances alone (GlobalBiodiversity Framework).
Nature credits are tradable units that represent certified, measurable positive outcomes for nature - such as restoring habitats or improving ecosystem services. These outcomes can be monetised, turning biodiversity gains into financial value. They represent an investment into nature positive actions by a company, a financial institution, a public entity or a citizen, which in return can benefit from cleaner ecosystems, risk reduction, improved reputation and higher social acceptability for its projects. They offer new income opportunities for farmers, foresters, fishers, landowners and local communities while helping them restore ecosystems and bolster the resilience of their businesses.
The Nature Credits Roadmap aims to establish clear standards and reliable certification, ensuring transparency and credibility while minimising unnecessary administrative burden. The goal: measurable, trusted contributions to reversing biodiversity loss.The roadmap highlights several key requirements to support the development of a nature credits market:
Cooperation among Member States and stakeholders: There must be close cooperation among Members States and Stakeholders to harness their expertise to develop a common understanding, while also fostering international cooperation.
Action one: In 2025, the Commission will set up an expert group on nature credits to mobilise expertise, share best practices and provide inputs
Action two: : In 2025-26, the Commission will engage in international fora and with likeminded international partners, including in preparation for CBD COP 17
High-integrity and transparent methodologies: Focus must be put on developing high-integrity and transparent methodologies with emphasis on simplicity and usability, while ensuring credible governance and safeguards(e.g., to prevent double counting and greenwashing).
Action three: In 2026, the Commission will invite an expert group to provide its expertise on criteria and methodologies for nature credit markets.
Action four: In 2026, the Commission will adopt the first carbon farming methodologies under CRCF with mandatory co-benefits on biodiversity
Action five: In 2026, the Commission will invite an expert group to provide its expertise on designing governance frameworks for nature credits, with particular considerations for smallholders and Small and Medium Sized Enterprises
Research into Supply & Demand: Research must be conducted and work carried out to ensure that there is market supply and demand for nature credits.
Action six: In 2025-26, the Commission will carry out an EU-wide evaluation of supply and demand for nature credits. Thereafter, on this basis, the Commission will invite an expert group to provide inputs on how to foster nature credit market.
Funding: Public seed funding (such as de-risking facilities, blended finance vehicles and technical assistance grants) need to be provided to kick-start nature credits.
Action seven: In 2025-27, a pilot project on nature credits will be launched and supported by EU funds available to support EU competitiveness and innovativeEuropean projects
Over the period 2025 to 2027, the Commission will implement the actions described above. Based onexperience and consultations, and inputs from an expert group, the Commission will review progress made and consider next steps for the development and scaling up of nature credit markets.
