First State to link Forest Ecosystem to Green GDP

Chhattisgarh became the first state to link forest ecosystem services to Green GDP. It was announced in January 2025 to integrate environmental value into economic growth.

  • It aims to quantify forest benefits like clean air, water conservation, and biodiversity; and seeks sustainable economic planning with environmental balance.

What is Green GDP?

  • According to the World Bank, Green GDP = NDP (Net Domestic Product) − (Cost of Natural Resource Depletion + Cost of Ecosystem Degradation)
  • It addresses limitations of traditional GDP (ignores environmental/social costs).
  • Reflects true wealth by factoring in pollution, deforestation, resource ....
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