Accounting for natural capital and ecosystem services is crucial to understand the link between the economy and environment. Discuss with specific references to India's initiatives in this regard.

Ecosystem services include soil renewable water cycle - Material and renewable management - Medicines - Fruits Importance key accounting: 1. Natural capital of land help us understand monetary value of it. 2. Realise their contribution in GDP terms 3. Sensitisation of public who take these are free resource available to be exploited.

Understand link between economy and environment - 4.1. Monetary value of environment tells the economic value & links from. 4.2. Can add to preservation efforts by digital database. India's initiatives in this arena - 1. Attakhand recently became 1st state to calculate environment account in GDP. Took into account not depravation by environment, rather positive addition for preservation. 2. India undertook with EU project of National accounting of natural capital and ecosystem services.