What is Circular Economy and Why does It Matter?

Our current economic system can be considered a “linear economy”, built on a model of extracting raw materials from nature, turning them into products, and then discarding them as waste.  Currently, only 7.2% of used materials are cycled back into our economies after use.  This has a significant burden on the environment and contributes to the climate, biodiversity, and pollution crises.  Circular economy (CE), on the other hand, aims to minimize waste and promote a sustainable use of natural resources, through smarter product design, longer use, recycling and more, as well as regenerate nature.  Besides helping tackle the problem of pollution, CE can play a critical role in solving other complex challenges such as climate change and biodiversity loss.