In this second module, you will explore how natural capital approaches can transform decision-making across governments, public institutions, and the private sector by embedding sustainability into development and finance strategies. Throughout the module, you will learn why it is essential to measure and quantify ecosystem services, and integrate their value into public policies, investments, and planning processes. The content presents concrete examples of policy instruments and financial solutions that align individual and institutional interests with broader societal goals for the protection and sustainable use of nature. This module will guide you through the main opportunities and challenges for incorporating nature into decision-making, from identifying key stakeholders to designing incentives and mechanisms for collaboration. You will learn to distinguish between different types of policy and financial instruments, and to identify strategic moments (“entry points”) to influence plans, budgets, policies, and regulations.

The module explains what a natural capital assessment is, why it matters, and how it can be used in decision-making contexts such as public policy, spatial planning, infrastructure investment, resilience, and conservation. It emphasizes that these assessments make the value of ecosystems and their services visible and actionable for decision-makers. The module presents practical tools and examples, such as spatial modeling and economic valuation methods, and highlights the importance of collaboration among sectors, local communities, and policymakers. The second part of the module includes several case study examples from Latin America and the Caribbean (LAC) and other countries, showcasing natural capital assessments in different decision-making settings and entry points. Each case study offers a snapshot of cross-sectoral and interinstitutional collaboration, as well as local and regional innovation, to incorporate nature into policy and investment decisions. Collectively, these projects provide insights not only into the variety of specific applications, but also into how natural capital approaches can be expanded across sectors and regions, from local to national levels.

This module describes the theory and practice of natural capital accounting in more detail. It builds on the ecosystem assessments described in Module 3, illustrating how these assessments can be integrated to build more robust and informative natural capital accounting.