There is a major gap in global financial flows: while investments in nature-negative finance flows reached USD 7.3 trillion in 2023, only USD 220 billion was allocated to nature-based solutions (State of Finance for Nature, 2026). Most harmful investments come from the private sector (USD 4.9 trillion), whereas financing for nature-based solutions is provided predominantly by the public sector (around 90%).
These figures clearly show that the public sector is leading in sustainable practices, while the private sector contributes the most to environmentally damaging flows. This is precisely why public policies play a crucial role in promoting sustainable practices that help reduce environmental degradation.
Systemic Solutions for Regional Climate Resilience
The second consortium meeting of the ClimaPannonia project was held in Prague on 30 and 31 March, with the participation of representatives from the Institute for Development and Innovation. The project’s main objective is the development and implementation of systemic solutions that will significantly improve the resilience of agriculture to climate change across the Pannonian Biogeographical Region (PBR). ClimaPannonia is a four-year project funded by the European Commission under the Horizon Europe programme, with a total budget of EUR 5.8 million. During the meeting, the project partners exchanged information on completed activities, plans for the future, and cooperation on joint tasks.
In the previous period, the project focused on preparing pilot sites for new solutions in four agricultural subsectors: the water-food nexus, agroforestry, organic crop production, and cattle production, as well as on a workshop dedicated to translating research into policy recommendations.
The Institute for Development and Innovation, together with its project partners, is working on assessing the environmental and socio-economic impacts of the systemic solutions being developed within the project. The aim of these analyses is to demonstrate how the developed systemic solutions contribute to mitigating the effects of climate change, protecting the environment, and generating positive socio-economic outcomes for society.
The goal of the Institute for Development and Innovation is for the project results to serve as guidelines for the design of economic policies, while taking local context into account, with the aim of supporting the transition of the agricultural system toward sustainable practices such as regenerative agriculture, improved soil quality, and increased resilience to climate change.
