Botswana’s jewel: How unlocking investments in nature can drive economic prosperity for all

Botswana’s Chobe National Park is more than a natural treasure—it’s a powerful engine for inclusive socioeconomic growth. Home to the world’s largest African elephant population and endangered species like the African wild dog. Chobe, being part of the Kavango-Zambezi Transfrontier Conservation Area (KAZA) – the largest land-based transboundary conservation area in the world – is among ecosystems that are vital to biodiversity, tourism, and regional stability.

The KAZA landscape provides an opportunity for economic prosperity in Botswana, Southern Africa, and the wider region. Yet these ecosystems face growing pressure from some unchecked development creates risks that could erode the very assets that underpin Botswana’s nature-based economic diversification in a predominantly diamond-driven economy. But evidence shows that when we invest in nature, it pays us back, in two very critical ways. 

Lucrative returns 

First, Botswana’s efforts in conservation have demonstrated that investing in nature conservation generates high-value returns. For example, decade-long investments in Chobe National Park and other protected areas demonstrate a deliberate choice by the government of Botswana, communities, businesses, and development partners to prioritize investments in conservation. Protected area management has been critical in addressing compounding challenges such as high tourist numbers, deforestation and poaching that affected neighboring communities' livelihoods and threatened the existence of wildlife. 

Botswana’s government rethinking of how to finance protected areas’ operations has been critical. Assessments conducted in Chobe and other parks, with the transformative support of the Global Environment Facility (GEF), indicated that for conservation to be an effective and sustainable investment strategy, protecting the park and its biodiversity must be a collective effort. This requires both public-private efforts to address threats and improve management of natural resources - within and beyond the park. 

With support from the GEF, Botswana has since enhanced the way its protected areas are managed and financed. Working together with the United Nations Development Programme (UNDP)’s Biodiversity Finance Initiative (BIOFIN), with instrumental funding from the Government of the Federal Republic of Germany, the Government of the United Kingdom of Great Britain and Northern Ireland, and the European Union, financing solutions have been developed and piloted in government protected areas across the country. These solutions have resulted in generation of additional revenue which enables sustainability and greater accountability. For example, park entrance fees were revised upwards in April 2022 for the first time in over 20 years. Ensuring that funds collected from entrance fees were aligned with the true value of biodiversity, this financial solution generated more than $7 million in its first year, towards the sustainable management of protected areas. Today, this system has been rolled out nationally. 

The socio-economic benefits to local communities are significant. The GEF-funded projects in Chobe National Park and the surrounding forest reserves also support Community Conservation Trusts—community-based organizations that engage in managing wildlife and ecosystems. This promotes a shift toward sustainable livelihoods and social development, moving beyond subsistence and dependency, while addressing human-wildlife conflicts. 

A catalytic economic effect

Second, sustainable tourism is enabling Botswana to diversify its economic strength, reducing its reliance on minerals and creating new job opportunities. With catalytic donor support the country can potentially unlock larger, long-term investment for nature and secure future prosperity. These funds, like Chobe’s fee restructuring, have catalyzed bigger investments that not only connect nature across wildlife corridors for Botswana but also drive trade opportunities and socioeconomic diversification across the KAZA region. The $259 million Kazungula Bridge linking Botswana and Zambia across the Zambezi River—built with support from the African Development Bank, the European Union-Africa Infrastructure Trust Fund grant, and the Japan International Cooperation Agency—exemplifies infrastructure that supports both conservation and commerce—accelerating trade across Southern Africa, with its impact cascading as far as Tanzania and the Democratic Republic of Congo.

Private sector engagement is also growing. Partnerships with organizations like BirdLife Botswana and Botswana Ash Ltd. are protecting key bird habitats and biodiversity, including flamingoes in Sua and Makgadikgadi Pans. Reforms in agriculture and finance are aligning economic growth with environmental sustainability. Aligning financial systems with biodiversity protection is not only risk mitigation—it’s a pathway to inclusive, resilient growth. Strategic efforts are underway to elevate awareness of the financial and economic risks posed by biodiversity loss—particularly when businesses operate without regard for nature. A key priority is integrating nature-related considerations into financial decision-making, ensuring that banks and insurance providers assess environmental impacts in their services. 

This approach also empowers small and medium enterprises—often led by women, Indigenous Peoples, and local communities—to sustainably harness natural heritage, guided by cultural knowledge and practices. At the heart of these efforts lies the recognition that nature – when protected instead of overly exploited or extracted – is an engine of economic growth worth investing in, for future returns.

Global leadership, local impact

Botswana is now exploring high-integrity carbon markets, leveraging its forests, rangelands, and fire management systems for climate-smart solutions. A national Carbon Market Framework is underway, positioning Botswana as a leader in nature-based climate finance. Across the KAZA region, countries are following suit. Zambia’s recent $200 million green bond—with $150 million already raised—is funding renewable energy and biodiversity projects. Angola is exploring similar models.

Cognizant of the global shortfall between what is needed to protect nature and what is currently invested, the GEF, through UNDP, commits to scaling up investment, building on the lessons from Botswana and other countries to strengthen sustainable financing solutions and designing biodiversity finance plans. This growing momentum affirms a powerful truth: protecting nature is not just an environmental imperative—it’s a cornerstone of inclusive, sustainable economic growth. Botswana’s success is inspiring global action. Nature is not just heritage—it’s a foundation for future prosperity. With continued leadership and investment, Botswana can transform its iconic landscapes like the Chobe and the Okavango Delta into enduring engines of growth, resilience, and opportunity.

This week, Botswana will host delegates from around the world attending the second meeting for the ninth replenishment of the Global Environment Facility Trust Fund between October 7-9, 2025. The GEF comprises several multilateral funds that work together to address the planet’s most pressing challenges in an integrated manner. Its financing helps developing countries address complex challenges and work towards meeting international environmental goals. Over the past three decades, the GEF has provided more than $26 billion in financing, primarily as grants, and mobilized another $153 billion for country-driven priority projects.

Originally published by UNDP Africa.