Q. Consider the following statements regarding Biodiversity Credits:
1.They are tradeable financial instruments designed to reward positive biodiversity outcomes and attract private investment in conservation.
2.They are tradeable instruments issued only by government agencies to fund biodiversity conservation projects.
Which of the statements given above is/are correct?
Answer: A
Notes:
Explanation:
- Biodiversity Credits are verifiable, quantifiable, and tradeable instruments rewarding nature-positive outcomes, functioning as innovative financing tools to draw private investments.
- Issuance is not limited to government agencies — NGOs, landowners, and companies can also generate credits.
Source: Environment (N.C.E.R.T)
