People, Planet, Prosperity Chile Pilot Project: Maximizing Benefits of Natural Capital Through Integrating Policies Across Sectors

This pilot within the People, Planet, Prosperity project will involve conducting a natural capital assessment of the River Bueno Basin; identifying options to maintain or enhance specific ecosystem services; and developing recommendations for incorporating natural capital approaches into policies across sectors and at different levels of government. Key collaborators: Inter-American Development Bank (IDB); Chile Natural Capital Committee. It is funded by the Global Environment Facility (GEF). 

Background

Chile is increasingly recognizing the critical role of natural capital in securing its resources, enhancing resilience, and sustaining economic productivity. Following a number of other legislative advances to steward the country’s biodiversity and natural resources, in 2023, the Chilean President Gabriel Boric established the Natural Capital Committee of Chile, through the Ministry of Finance. It is, however, a whole-of-government committee, chaired by the Ministry of the Environment, with the participation of the Ministry of Economy, Development, and Tourism. It serves as an advisory body to the President focused on championing the integration of nature and biodiversity into the country's sustainable development strategy and economic policies. Over the past year, the committee has engaged in extensive consultations and research, and developed a roadmap. Its work has also been supported by Chile’s National Council for Science, Technology, Knowledge and Innovation for Development, and the Central Bank of Chile.

The pilot project

This pilot project will support the Natural Capital Committee (NCC) by providing information on natural capital to further the strategic integration of efforts across sectors, maximizing the value and benefits of Chile's natural wealth in diverse public policies. In collaboration with the NCC and the Inter-American Development Bank, the pilot will implement a natural capital assessment in the Rio Bueno River Basin, identifying key zones that supply ecosystem services to important economic sectors identified by the Chile Natural Capital Committee. The project will also analyze policies related to natural capital in that region to establish gaps, opportunities, and recommendations for using natural capital assessments and accounting (NCAAs) to improve the coordination and implementation of policy actions at the local level.