What is TNFD?
The Taskforce on Nature-related Financial Disclosures (TNFD) is an international initiative that provides a framework for organizations to identify, assess, manage, and disclose their nature-related risks, dependencies, and impacts.
TNFD helps businesses and financial institutions integrate biodiversity and ecosystem risks into strategic decision-making and financial reporting, similar to how climate risks are addressed under the TCFD framework.
Its goal is to ensure that companies understand how nature loss, ecosystem degradation, and biodiversity risks affect their business performance, supply chains, and financial outcomes, and to promote consistent, transparent, and decision-useful reporting to investors and stakeholders.
Core Pillars of the TNFD Framework
- Governance — oversight and accountability on nature-related issues
- Strategy — how nature risks and opportunities are integrated into business plans
- Risk Management — how companies identify and manage nature-related risks
- Metrics and Targets — how companies measure, monitor, and disclose performance on nature impacts and dependencies
