High-Level Principles to Guide the Biodiversity Credit Market
Summary
The document proposes 21 high-level principles to guide the biodiversity credit market, categorized into three core themes: verified positive outcomes for nature, equity and fairness for people, and good governance. It emphasizes the need for scientific rigor in monitoring, reporting, and verification (MRV), the absolute necessity of free, prior and informed consent (FPIC) for Indigenous Peoples and local communities, and the implementation of transparent governance to avoid the integrity failures seen in voluntary carbon markets. The framework distinguishes between 'uplift and avoided-loss' credits and 'maintenance' credits, while advocating for ex-post credits over ex-ante projections to ensure verified outcomes.
Key insights
- The framework defines three distinct types of biodiversity credits: 'uplift' (improvement from restoration), 'avoided-loss' (prevention of decline from imminent threats), and 'maintenance' (long-term sustainable funding for intact biodiversity in areas not under immediate threat).
- Ex-post credits, where outcomes are verified after the fact, are considered more robust than ex-ante credits based on predictions; therefore, the sale of ex-post credits is preferred.
- To ensure additionality, 'uplift and avoided-loss' projects must demonstrate outcomes that would not have occurred without the project, while 'maintenance' projects must provide long-term sustainable funding for areas like Indigenous Peoples' lands.
- The document mandates the use of free, prior and informed consent (FPIC) for Indigenous Peoples as a right conferred by UNDRIP, and recommends it as best practice for local communities to support their rights to self-determination.
- Biodiversity credit schemes must implement robust monitoring, reporting, and verification (MRV) that incorporates traditional knowledge and involves local rights-holders, subject to their FPIC.
- To prevent double counting and ensure transparency, credits must be issued and tracked by independent third parties using digitally accessible registries that include accurate georeferenced location data.
- The framework requires that benefit-sharing mechanisms be co-designed with Indigenous Peoples and local communities, with the goal of maximizing the proportion of benefits distributed to these groups.
- Third-party audits are required at the start of a project and at minimum every five years to validate environmental and social outcomes and review governance arrangements.
- The principles emphasize data sovereignty, asserting that data pertaining to Indigenous Peoples' knowledge systems, customs, or lands is owned by Indigenous Peoples and requires FPIC for collection or use.
- Buyers of biodiversity credits are encouraged to align their purchases with a publicly disclosed nature strategy and the mitigation hierarchy (Avoid, Reduce, Restore, Regenerate, Transform).
Cite the original document
- APA
- World Economic Forum (2025). High-Level Principles to Guide the Biodiversity Credit Market. https://www3.weforum.org/docs/WEF_High_Level_Principles_to_Guide_the_Biodiversity_Credit_Market_2025.pdf
- Chicago
- World Economic Forum. High-Level Principles to Guide the Biodiversity Credit Market. 2025. https://www3.weforum.org/docs/WEF_High_Level_Principles_to_Guide_the_Biodiversity_Credit_Market_2025.pdf.
- Wikipedia
- {{cite report |author=World Economic Forum |title=High-Level Principles to Guide the Biodiversity Credit Market |date=July 2025 |url=https://www3.weforum.org/docs/WEF_High_Level_Principles_to_Guide_the_Biodiversity_Credit_Market_2025.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{worldeconomicforum2025highlevel, author = {{World Economic Forum}}, title = {{High-Level Principles to Guide the Biodiversity Credit Market}}, institution = {World Economic Forum}, year = {2025}, month = jul, url = {https://www3.weforum.org/docs/WEF_High_Level_Principles_to_Guide_the_Biodiversity_Credit_Market_2025.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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