Funding for natural environment solutions has declined sharply—from 12.6% of total Climate Tech investment in 2020 to just 4.7% in 2024—despite rising threats to ecosystems and accelerating biodiversity loss.
While capital allocation to innovative start ups in the natural environment has waned in recent years, a growing cohort of investors is actively backing startups focused on restoring and protecting the natural world. Leading venture firms, corporate investors, government agencies, and banks are channeling funds into technologies that support conservation, reforestation, climate monitoring, and disaster resilience.
By financing scalable, data-driven innovations, these investors are helping build more resilient ecosystems—ensuring the natural environment plays a central role in global climate strategies.
Five Most Active VC Investors
These venture firms are deploying capital into early-stage climate tech startups focused on nature restoration, ocean health, and land use.
- Katapult is a Norwegian VC firm spearheading innovation by funding pioneering companies that address pressing oceanic challenges to shape a more sustainable and responsible future for our planet’s seas and marine ecosystems. They have made 20 investments in accelerator programs, seed and early-stage ocean impact start-ups.
- Lowercarbon Capital channels capital into nature-based solutions such as reforestation, ecosystem restoration, and biochar. With 17 deals across seed to late-stage rounds, the firm continues to back scalable solutions that restore the natural environment.
- Climate Capital focuses on early-stage climate tech startups that aim to improve ecosystem health and tackle key environmental challenges. The firm has closed 17 deals, reinforcing its commitment to nature-positive innovation.
- Breakthrough Energy Ventures supports technologies that eliminate greenhouse gas emissions across the global economy. The firm has made 14 investments in startups operating in the natural environment sector, ranging from seed to later-stage funding.
- Antler is an early-stage investor based in Singapore, backing high-impact, climate-focused startups that reduce emissions and support sustainability. To date, Antler has made 14 investments in nature-aligned ventures.
Five Most Active CVC Investors
These corporate investors are backing startups building scalable nature-based solutions, from ecosystem restoration to biodiversity monitoring.
- ADB Ventures, the corporate venture arm of the Asian Development Bank, supports nature-based solutions that protect ecosystems and restore environmental resilience. The firm has made seven investments across seed to late-stage startups and has issued a few grants.
- Google Ventures backs high-impact startups working on nature conservation, biodiversity protection, and restoration of natural carbon sinks. It has participated in six deals, funding startups from seed to later stages that develop localized, nature-based solutions.
- US-based Susquehanna Sustainable Investments invests in early-stage companies using technology to drive environmental progress. The firm has completed six deals focused on seed and early-stage funding.
- California-based MS&AD Ventures targets startups working on the conservation and restoration of natural environments. The firm has invested in six early-stage projects that enhance the sustainability of natural capital.
- Canadian VC firm Telus Ventures encourages innovation in early-to-late stage development with a focus on natural climate solutions. It has backed five projects across early to late stages that support nature restoration efforts.
Five Most Active Government Agencies
These public institutions are increasing grant and R&D funding to scale technologies that monitor, protect, and rebuild natural ecosystems.
- UK Research and Innovation (UKRI) funds and scales innovative nature-positive projects. The agency has awarded close to 75 grants, supporting initiatives that use data and AI for environmental monitoring and ecosystem protection.
- The U.S. Department of Defense supports projects that preserve green spaces, sustain native habitats, and enhance community resilience. It has awarded 44 grants to initiatives aligned with environmental stewardship.
- The National Science Foundation funds R&D efforts aimed at reducing environmental degradation. The agency has awarded 43 grants that foster novel approaches to climate and ecological challenges.
- The European Space Agency funds projects that apply space-enabled services to nature-based solutions such as ecosystem restoration, urban resilience, and nature-related risk mitigation. It has supported 30 initiatives through accelerator programs, grants, and early-stage funding.
- The U.S. Department of Energy supports science and technology solutions that address environmental and energy challenges. The agency has funded 27 projects, primarily through grants and select debt-financing mechanisms.
Five Most Active Banks
These financial institutions are stepping up with innovative green finance tools and sustainability-linked investments to drive nature-positive outcomes.
- Bpifrance has launched sustainable refinancing programs focused on renewable energy, green buildings, and GreenTech loans. It has supported nine companies at various growth stages—startups, SMEs, and large enterprises—via equity, debt, and grant-based financing.
- The Scottish National Investment Bank promotes nature-based solutions that preserve biodiversity and enhance environmental well-being. The bank has funded five projects through early-stage investments, growth equity, and grants.
- The European Investment Bank invests in efforts to protect natural resources, reverse biodiversity loss, strengthen coastal ecosystems and boost sustainable blue economic activity to name a few. The bank has funded five projects via debt financing and early-stage funding.
- Morgan Stanley supports business models that mitigate biodiversity loss and build urban resilience by developing green cover among other projects. The investment bank has funded four projects in early to late stage funding and debt financing.
- Credit Suisse provides green financing mechanisms such as debt-for-nature swaps and sustainability advisory services. The firm has supported three projects through debt financing and early-stage capital.
Backing Innovation That Restores the Natural Environment
Climate tech is redefining how we protect and regenerate ecosystems—through tools that measure impact, reduce environmental risk, and accelerate restoration. As new investment models emerge across nature-positive solutions, understanding capital flows and funding gaps is essential to identifying where the most impactful opportunities lie.
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