Course Description

Course description

Nature loss is a significant issue across Southeast Asia and the globe. However, Asia is the most underperforming continent on Aichi Target 11, which committed governments to protect ≥17% of their terrestrial environments by 2020. Furthermore, the World Economic Forum estimates that 42% of all species in Southeast Asia could be lost by the turn of the century, threatening 63% (US $19 trillion) of Asia Pacific GDP. It is therefore paramount for companies to act on nature loss to ensure long-term economic stability in the region.

This executive-level course is designed for board directors to address the drivers and financial risks of biodiversity loss, with a focus on the emerging IFRS S3 standard on nature. As IFRS S3 evolves, biodiversity—recognized as the twin crisis to climate change—is expected to become a key component of regulatory frameworks. The course will explore how nature loss can impact financial performance, investment risks, and regulatory compliance, offering strategic insights into embedding nature considerations into risk management. This enables organisations to stay ahead of regulatory developments and ensuring long-term organizational resilience.

Objectives

•     Comprehend the strategic and financial significance of nature loss.

•     Evaluate the risks of biodiversity decline and its impact on organizational performance.

•     Understand how biodiversity scenario analysis supports risk assessments.

•     Oversee and guide the development of effective nature-related risk management strategies.

Course outline

I.        Understanding Nature-related Risks

a.   Importance of nature in organizational sustainability

b.   Key trends and drivers of degradation of nature

c.   Introduction to IFRS S3 and its implications on businesses

d.   Identification of material nature-related risks to the organisation

II.       Financial Implications of Nature-related Risks

a.   Assess financial risks: asset valuation, supply chain disruptions, and operational impacts

b.   Potential effects for investment portfolios and shareholder value

c.   Legal and regulatory considerations related to nature

III.     Governance and Oversight

a.   Role of the board in overseeing nature-related financial risks

b.   Best practices to incorporate nature-related risks into risk management aligned to IFRS S3

c.   Global outlook on regulatory developments related to nature