Compared to the meeting in Colombia last October, the delegates of COP16 gathered at the FAO headquarters in Rome achieved significant results, particularly concerning global funding for the sector.
Below are the main outcomes of the Roman meeting, with a particular focus on resource mobilization for biodiversity.
Starting Point: Insights from the COP16 in Cali
The COP16 in Cali was the first meeting among representatives of the 196 countries signatories of the Global Biodiversity Framework (GBF) signed in 2022 during COP15 (Kumming-Montreal). This framework outlines a roadmap with well-defined objectives to protect and restore global biodiversity. During the Colombian conference, significant progress was made in implementing the GBF, adopting a common stance on relevant issues. An example is the multilateral mechanism for the use of digital sequence information (DSI) of genetic resources, with the establishment of a new fund, called the Cali Fund.
However, despite the significant achievements, an agreement could not be reached to fully implement the Global Biodiversity Framework, mainly due to deep divisions between developed and developing countries regarding the issue of financial resource mobilization. The GBF stipulates that at least $200 billion per year should be allocated by 2030 for biodiversity conservation. Specifically, richer countries are required to progressively increase their contribution to international financial flows for biodiversity, reaching at least $20 billion per year by 2025 and $30 billion by 2030. The goal is to bridge a biodiversity funding gap estimated by the GBF at $700 billion by 2030.
The contribution required from developed countries within the Global Biodiversity Framework was one of the main points of tension at the first part of COP16: according to the latest OECD data, developed countries are well below the quota they should guarantee. For this reason, at the Cali conference, 20 ministers from less developed nations issued a statement urging northern governments to meet the $20 billion target by 2025, also suggesting the creation of a joint working group between finance and environment ministers to ensure this deadline is met.
At the heart of the conflict between developed and developing countries is also the Global Biodiversity Framework Fund (GBFF), a financial package approved at COP15, hosted by the Global Environmental Facility (GEF), a multilateral fund established at the Rio summit in 1992 to finance projects related to biodiversity and climate change mitigation. This solution has caused some discontent among developing countries, led by Brazil, which have called for the creation of a new ad hoc fund dedicated to nature, managed directly by the COP governance. In response to this request, renewed by developing countries at COP16 in Cali, richer nations announced an additional $163 million for the GBFF, bringing the fund's total to $396 million. However, this amount is still considered very modest by less developed states.
To overcome the impasse, COP16 President Susanna Muhamad presented a new text to the delegates, not approved due to the lack of a quorum, proposing the creation of a global biodiversity fund under COP governance by 2030. It is likely that negotiations for COP16-bis in Rome will start from this proposal.
Results of COP16 in Rome on Biodiversity Finance
After three days of negotiations, the 196 participating countries finally reached an agreement on a strategy to mobilize the financial resources needed for biodiversity protection.
In more detail, the agreement signed in Rome confirms the creation of an international funding flow increasing from $20 billion per year in 2025 to $30 billion by 2030. The goal, in line with the GBF, is to mobilize at least $200 billion per year by the end of this decade through all possible funding channels (from national and international public funds to private resources).
Thanks to a proposal advanced by Brazil on behalf of the BRICS countries, it was possible to overcome controversies regarding the management of these resources: according to what was established in Rome, on one hand, the COP is assured control over the governance of the new GBFF, while maintaining its operation within the existing mechanism (which is that of the GEF). On the other hand, the final decision on the fund's development has been postponed to future COPs.
Another important moment of the conference was the official launch of the "Cali Fund", a tool based on the fair sharing of benefits derived from the use of genetic resources related to biodiversity, and on the rights of indigenous peoples, aiming to channel profits from the commercial use of natural resources towards biodiversity conservation and to benefit developing countries, indigenous communities, and local populations. The fund is mainly financed by companies that use genetic resources for commercial purposes, including the pharmaceutical industry, which must allocate at least 50% of the resources they collect to biodiversity protection.
Finally, another important issue related to funding discussed in Rome is the goal of cutting at least $500 billion per year by 2030 in subsidies to activities harmful to biodiversity.
The EU's Contribution to COP16
The results achieved by the 196 countries participating in the COP in the capital were significantly contributed to by the EU, especially regarding the mobilization of financial resources essential for ensuring biodiversity protection. The Union is already among the main international biodiversity financiers: the Commission has doubled the resources dedicated to the sector, bringing the allocation to €7 billion for the period 2021-2027. Moreover, from 2026 onwards, 10% of the Union's budget will be allocated to biodiversity-related activities, and the Commission will integrate biodiversity into other funding programs, maximizing synergies with the climate agenda. Currently, in Europe, most support is provided within bilateral cooperation to help partners implement the Global Biodiversity Framework (GBF), but the EU aims to mobilize additional resources from national or private sources, using a wide range of financial instruments, including blending (mixed finance), guarantees, and green bonds. Resources that will be necessary to ensure the financial contribution required within the GBF to developed countries (a category to which the 27 belong).
Speaking at the event, the Commissioner for Environment, Water Resilience, and a Competitive Circular Economy, Jessika Roswall, stated: “I welcome the positive outcome of the global biodiversity negotiations in Rome. An agreement has been reached on all outstanding issues. We have secured a global roadmap to support biodiversity financing beyond 2030. This is proof that multilateralism works, despite a challenging international geopolitical context and multiple global challenges. By working closely together, all Parties have agreed on a roadmap for resource mobilization to bridge the biodiversity funding gap. An agreement was also reached on the monitoring framework and procedures for the global review of the implementation of the Global Biodiversity Framework at the next Global Biodiversity Conference COP17.”
Translation AI assisted
