Natural Capital
Table of Contents
2 Natural Capital Index Natural capital is the basis on which a country is built: the physical environment and climatic conditions, combined with the extent of human activities that have or will affect the natural environment. The Natural Capital of a country reflects its ability to sustain the population and the economy, now and into the future. A nation’s natural capital is a given value – it is as it is – i.e. there are limitations to human ability to improve or change the availability of natural capital. However, continuing exploitation and extension of human activities diminish the existing Natural Capital
Natural Capital Index 2020 – Key Take-aways High-ranking countries are characterised by abundant water availability, the source of a rich biodiversity. Many of the highest scoring countries are located in tropical areas. While some of these countries currently may lack social, intellectual and governance capital, their Natural Capital would allow them to develop sustainable competitive economies over time. A certain correlation with the level of human activities and population density can also be observed: large countries with a comparably small population density and rich biodiversity tend to score higher. The Natural Capital Index 2020 is topped by Laos, followed by Paraguay, Bhutan, and Congo. OECD representation in the top 30 is limited to Sweden, and New Zealand. The two most populated countries, China (155) and India (164) are both affected by a combination of arid climate, high population density and depletion levels, raising concerns over those countries’ ability to self-sustain their large populations in the long term.
The Natural Capital World Map. Dark areas indicate high, light areas low levels of natural capital
17
