What is TNFD?

EcoVision
Nov 3
1 min read

Updated: Nov 11

The TNFD stands for the Taskforce on Nature‑related Financial Disclosures. 🌿

What It Is

The TNFD is a global initiative that helps organizations understand, manage, and disclose their nature‑related risks and opportunities — similar to what the TCFD (Task Force on Climate‑related Financial Disclosures) does for climate.

It provides a framework for companies and financial institutions to integrate biodiversity and ecosystem health into financial and strategic decisions.

🌱 Purpose

The TNFD aims to:

Encourage investment in nature‑positive outcomes
Help companies identify dependencies and impacts on nature (e.g., water use, deforestation, soil health)
Improve transparency on how nature degradation could affect business value
Align global markets with goals from the Kunming‑Montreal Global Biodiversity Framework (agreed under the UN Convention on Biological Diversity)

⚙️ Framework Structure

Like the TCFD, TNFD uses four disclosure pillars:

Pillar	Focus
Governance	How the board and management oversee nature-related issues
Strategy	How nature dependencies and risks affect business plans
Risk & Impact Management	How the organization identifies, assesses, and manages nature-related risks
Metrics & Targets	Quantitative measures used to track impacts and progress

TNFD also recommends using the LEAP approach:

Locate → Evaluate → Assess → Prepare to systematically analyze where and how an organization interacts with nature.

📅 Timeline

Launched: June- 2021
Final TNFD Recommendations Released: September -2023

📚 Some Reliable References

For authoritative information, see:

🔗 Official TNFD Website: https://tnfd.global
🔗 United Nations Development Programme (UNDP): https://www.undp.org/nature/our-flagship-initiatives/tnfd
🔗 World Economic Forum overview: https://www.weforum.org/agenda/2023/09/tnfd-biodiversity-framework

In short:

TNFD helps organizations measure and disclose their impact and dependence on nature — guiding financial decisions that support both environmental sustainability and long‑term enterprise value.