What does "natural capital" refer to?

"Natural capital" refers to the stock of natural resources and ecosystems that provide vital services and benefits to humanity. This includes forests, water, soil, minerals, and biodiversity, which are essential for maintaining life and supporting economic activities. By recognizing natural capital, we can appreciate the value of ecosystems' roles in providing clean air, water purification, carbon sequestration, and other critical services that are foundational for sustainable development.

The understanding of natural capital emphasizes the importance of conserving and managing these resources wisely to ensure their availability for future generations. It points to the interconnectedness of ecological health and human well-being, as well as the necessity of incorporating ecological considerations into economic planning and policy-making.

In contrast, financial investments in nature focus solely on monetary aspects, human-built infrastructure is related to the built environment rather than natural systems, and social networks for economic gain emphasize social dynamics rather than ecological resource management. These alternatives do not capture the comprehensive and essential nature of natural capital, thus confirming that the accurate definition prominently identifies the significance of natural resources and ecosystems.