Economic and social development

Supporting a sustainable economic development is an important task for public authorities to ensure quality of life for the population. The population’s wellbeing depends on the job security and sufficient incomes, access to education and healthcare, and living standards and environmental conditions. NBS can support economic development in several ways.

NBS to support economic and social development is understudied [1], however, a variety of NBS interventions have been found to impact income, revenue and job creation with positive, mixed and sometimes negative results [2].

Society and economic sectors heavily rely on nature for its functions and resources [3], [4]. Therefore, protecting and restoring nature is important to ensure good living conditions in the first place. This also relates to efforts to adapt society to climate change or manage disaster risk. Furthermore, investing in NBS can contribute to job creation related to planning, delivery and stewardship of the solutions. Finally, taking a nature-based approach to improving the urban environment, can also make neighbourhoods more attractive for people and businesses.

While working with NBS itself can support sustainable economic development, the choice of policy instruments can also have an impact. Some policy instruments have lower administration and transaction costs than others, while some have larger distributional effects than others.

The Nordic Guidance for Nature-based Solutions explains more about how NBS can be implemented to support economic development in practice. For tips on relevant policies, click the links below.

Applying assessment frameworks for NBS

A robust assessment framework can ensure effective monitoring and evaluation of ecological and socio-economic outcomes, collaboration, transparency, and enables comparison across initiatives.

Carry out cost-benefit analysis considering the Total Economic Value of NBS

Analysing the Total Economic Value of NBS highlights their long-term benefits, including ecosystem services and helps policymakers and investors recognize NBS as cost-effective and scalable.

Collaborations across municipalities with common challenges

To overcome challenges with lack of resources, time, or expertise to apply NBS, municipalities with common challenges should utilise existing arenas for collaboration.

Engage schools and youth in NBS activities

Engaging youth in NBS education and activities has much potential and can benefit the youth, as well as educate them in more sustainable practices which they can apply later in their adult life.

Facilitate private funding of nature-based solutions

Exploring innovative funding mechanisms and facilitating private funding of NBS through economic incentives can prove successful for mainstreaming and upscaling NBS.

Increase capacity building for key public local actors

Implementing NBS in local strategies and projects calls for capacity building for public workers across several sectors, and can be especially relevant in smaller municipalities with fewer resources.

Involving citizens through community programmes for NBS

Citizen engagement through community-based programmes, citizen science and NBS activities helps spreading awareness, contribute to social learning and gain confidence in NBS actions.

Land exchange - swapping properties to protect or restore important ecosystems

Land swaps are the exchange of one real estate for another. This tool can be used by public authorities to secure land for protecting or restoring important ecosystems.

Look for NBS opportunities when planning infrastructure projects

To overcome challenges with lack of funding and space to apply NBS, public authorities can capitalise on large infrastructure projects by making funding or integration of NBS mandatory.

Promote cross-sectoral collaboration and partnerships with industry and private actors

Overcoming sectoral silos and fostering interdisciplinary efforts between municipalities/regions, industries and private sector are key for NBS policies to succeed.

Promote and develop decision-making support tools

Enhancing such tools for NBS helps stakeholders effectively evaluate impacts, costs, and benefits. This can strengthen collaboration, improve decision quality, and build greater confidence in NBS.