This updated edition of the report, co-authored by the United Nations Environment Programme World Conservation Monitoring Centre (UNEP-WCMC) and the United Nations Environment Programme Finance Initiative (UNEP FI), expands its scope to include pollution-related financial risks alongside nature-related assessment and disclosure approaches. Pollution is one of the five primary drivers of biodiversity loss (IPBES, 2019) and is increasingly recognized as a major financial and economic risk.

This edition includes a pollution addendum, which examines how pollution impacts ecosystems, economies, and financial stability. Pollution-related financial risks are increasingly reflected in global frameworks such as the Kunming-Montreal Global Biodiversity Framework (GBF) and the Global Framework on Chemicals (GFC), as well as through regulatory initiatives such as internationally binding plastic pollution agreements.

The report provides a comprehensive overview of key methodological and conceptual trends in nature- and pollution-related assessment and disclosure approaches, covering leading standards, frameworks, and reporting systems that guide private sector companies in assessing and reporting on their dependencies, impacts, risks, and opportunities related to nature and pollution. It distinguishes between: frameworks, which provide guiding principles for disclosure, Standards, which establish specific reporting requirements, and Reporting platforms, which help companies align with both voluntary and regulatory disclosure expectations. The analysis includes seven key frameworks and standards:

  • Carbon Disclosure Project (CDP) disclosure system
  • European Sustainability Reporting Standards (ESRS)
  • Global Reporting Initiative (GRI) Standards
  • International Sustainability Standards Board (ISSB) Standards
  • Natural Capital Protocol
  • Science Based Targets Network (SBTN) target-setting guidance
  • Taskforce on Nature-related Financial Disclosures (TNFD) framework

These approaches vary in scope and methodology—ranging from voluntary disclosure frameworks to legally binding reporting standards. The report highlights common trends, divergences, and best practices, offering financial institutions insights into the evolving regulatory landscape.

The Nature-Pollution Nexus in Financial Disclosure

Pollution is no longer just an environmental issue—it is a material financial risk. Key findings from the pollution addendum include:

  • Pollution drives economic and financial risks, particularly in high-impact sectors such as chemicals, manufacturing, agriculture, and energy.
  • Global policies are rapidly evolving, requiring financial institutions to integrate pollution-related risks into reporting and risk management frameworks.
  • Addressing pollution-related dependencies, risks, and impacts is essential for long-term financial resilience and regulatory compliance.

The Future of Nature- and Pollution-related Disclosures

As reporting requirements transition from voluntary to mandatory, financial institutions must align their nature- and pollution-related assessments with global frameworks. The expanding regulatory landscape means that financial institutions will need to demonstrate transparency, accountability, and risk mitigation strategies for both nature and pollution impacts.

UNEP FI and UNEP-WCMC will continue to track these developments, ensuring that financial institutions and companies remain equipped with actionable insights to align with evolving disclosure requirements.