The United Nations Environment Programme Finance Initiative (UNEP FI) published a 2026 outlook for nature finance, highlighting key policy and market milestones and its planned work to help banks, insurers and investors address nature-related risks and opportunities. The update frames 2026 against an estimated USD 700 billion annual need to protect and restore nature and notes that over half of global economic value generation is moderately or highly dependent on natural systems. A central moment is expected to be COP17 under the Convention on Biological Diversity in October in Yerevan, Armenia, where the focus is set to be on assessing progress and accelerating finance to deliver the Kunming–Montreal Global Biodiversity Framework; UNEP FI plans to host a Finance Day to discuss aligning financial flows with National Biodiversity Strategies and Action Plans and strengthening public–private collaboration. The outlook also flags continued attention on forests and oceans through the UN Forum on Forests and the UN Water Conference, alongside initiatives including the Tropical Forests Forever Facility launched at UNFCCC COP30 and the One Ocean Finance Facility launched by UNEP and partners in 2025; it notes the High Seas Treaty, officially the BBNJ Agreement, took effect in January 2026 and is expected to support the growth of ocean finance instruments. On market practice, the article points to growing use of blue bonds and references UNEP FI’s work with partners on ICMA Blue Bond guidance and the Ocean Investment Protocol, while also emphasizing inclusion in nature finance through measures such as the Cali Fund’s allocation of at least 50% of resources for direct disbursement to Indigenous Peoples and Local Communities. Looking ahead, UNEP FI plans continued implementation-focused support in 2026, including a Nature Journey intended to provide banks with a roadmap to integrate nature into governance, risk management, strategy and decision-making, alongside capacity-building and peer exchange aligned with the Taskforce on Nature-related Financial Disclosures and Global Biodiversity Framework objectives. The outlook also highlights recent UNEP FI convening on integrating fungal ecosystem indicators into credit risk analysis, underwriting and portfolio management.