The EU Nature Restoration Regulation marks a major step towards reversing biodiversity loss. Yet implementing restoration at the required scale will depend not only on ambitious targets, but also on securing sufficient long-term funding. At a time when public budgets are under increasing pressure and nature must compete with other priorities, mobilising private investment is becoming increasingly important. A new Biodiversa+ policy brief explores how well-designed Public-Private Partnerships (PPPs) can help close this financing gap while safeguarding ecological integrity and public interest.

Why Europe needs new financing approaches

Nature is not only an environmental asset but also a foundation of Europe's economy. Healthy ecosystems support water regulation, food production, climate resilience and many other services on which businesses and society depend. As nature-related risks become more visible for companies and financial institutions, investment in ecosystem restoration is increasingly recognised as both an environmental necessity and an economic opportunity. However, policy uncertainty, fragmented markets and the lack of investment-ready restoration projects continue to limit private engagement.

Why Public-Private Partnerships matter

The policy brief argues that Public-Private Partnerships can help bridge this gap by combining public oversight with private capital, technical expertise and innovation. Rather than treating restoration solely as an environmental cost, PPPs can position healthy ecosystems as long-term infrastructure that delivers ecological, economic and societal benefits. To succeed, however, partnerships require clear governance, robust monitoring and verification systems, long-term policy certainty, and meaningful involvement of local communities. The brief illustrates these principles through practical examples from projects including MERLIN, REST-COAST, Peatland Finance Ireland and the River Stewardship Company.

From restoration targets to investment-ready projects

To unlock private investment at scale, the authors recommend establishing dedicated restoration project pipelines linked to National Restoration Plans, developing standardised PPP models, expanding blended finance instruments and integrating nature restoration into Europe's broader economic and competitiveness agenda. Strengthening knowledge transfer and public-sector capacity will also be essential for developing credible, investment-ready restoration projects.

The policy brief was developed by the BiodivRestore Knowledge Hub under Biodiversa+ and co-authored by experts including Ecologic Institute's Benjamin Kupilas. It provides practical recommendations for policymakers seeking to mobilise private investment while ensuring that nature restoration delivers long-term benefits for biodiversity, society and the economy.