How Banks and Investors Are Fueling a Global Biodiversity Crisis
Tropical rainforests, despite their current plight, are resilient ecosystems that play a vital role in our planet’s health. However, they are facing significant challenges. Companies engaged in deforestation for farming and logging are endangering not only these forests but also the diverse array of flora and fauna and the communities that depend on them. The exacerbation of extreme weather events due to climate change further compounds the threats to these rainforests.
The UN Global Biodiversity Framework, agreed upon by many countries, is a step in the right direction, but banks and investors still give billions of dollars to companies that destroy forests. These companies, like JBS and Cargill, keep getting money even though they harm the environment and mistreat people.
Forests & Finance, an initiative by a coalition of campaign and research organizations, including Rainforest Action Network and Amazon Watch, investigated this and found that big banks are part of the problem, giving billions to harmful industries. They say banks and investors need to follow five rules to fix things, like protecting Indigenous rights and stopping deforestation.
Some progress is being made. Countries like Brazil and Indonesia are starting to make rules to protect nature, and the European Union is trying to make sure investments are good for the planet.
But still, a lot of money goes to bad companies. In South America, banks give a lot of money to beef companies that hurt the rainforest. In Southeast Asia, it’s palm oil, and in Africa, it’s rubber. Even big investors like BlackRock are part of the problem, putting billions into harmful activities. People are speaking up. Communities affected by these companies are demanding justice, like the Parakanã people in Brazil. They’re demanding that banks pay for the damage caused by companies like JBS.
It’s not just up to governments and banks. Each one of us has the power to make a difference. By collectively taking action, we can save the rainforests and protect our planet.
🔭 This summary was human-edited with AI-assist.
