Overreliance on investment in the so-called ‘brown economy’ between the late 20th and early 21st centuries led to a state of financial imbalance and was a contributing factor in the global financial crises of 2008. An alternative economic paradigm, centred on a ‘greening’ of the economy, provides greater focus on investment in renewable energy, energy efficiency, public transportation, sustainable agriculture, ecosystem and biodiversity protection, and land and water conservation. These ‘green economies’ are also likely to be more resilient and socially inclusive, particularly in the face of environmental pressures, such as climate change.

Almost all economic activities are dependent on ‘natural capital’ in some form or another. Natural capital refers to the stocks of the Earth’s natural assets and resources, such as soil, water, air and biodiversity. These stocks provide humans with a flow of goods and benefits – known as ‘ecosystem services’ – which positively impact our well-being. Indeed, for business operations to successfully function long-term, and for human well-being to be sustained, this resource base must be maintained or restored. This is a fundamental part of the greening of economies.

This guide was produced as part of the project on Operationalising Green Economy Transition in Africa, implemented under the supervision and coordination of Desta Mebratu, Patrick Mwesigye and Lowri Angharad Rees from UNEP Regional Office for Africa. The International Climate Initiative (IKI) of the Federal Ministry for the Environment, Nature Conservation, Building and Nuclear Safety (BMUB) supports this project.