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Context :

• World leaders have reached a historic agreement on financing global conservation goals at the 16th Conference of the Parties (COP16) of the Convention on Biological Diversity (CBD) held in Rome.
• The conference was postponed until 2024 in Cali, Colombia. But it was resumed in Rome on February 25, 2025.
• After intense negotiations, the conference finalised a long term financial mechanism to support biodiversity conservation & it ensure the success of the Kunming Montreal Global Biodiversity Framework (KMGBF).

Key Highlights of the Agreement:

1. Funding Commitments:
   • The agreement has 2 main objectives: 1st is to reduce the biodiversity finance gap & 2nd is to implement Article 21 of the CBD.
   • Governments have pledged to mobilize $200 billion annually by 2030, with a focus on raising $20 billion by 2025 and $30 billion per year from international sources by 2030.
   • The Global Environment Facility (GEF) has already allocated more than $3 billion for biodiversity goals, which has leveraged an additional $22 billion, including $1.9 billion from the private sector.
2. Long-Term Financial Mechanism:
   • A permanent financial mechanism will be established under the authority of the COP to ensure continued, long term funding for biodiversity protection.
   • This will be accomplished by enhancing existing funding sources & exploring new avenues, such as private sector contributions & blended finance.
3. Launch of the Cali Fund:
   • A key achievement at COP16 was the launch of the Cali Fund, which ensures fair benefit sharing from the use of digital information on genetic resources.
   • Industries, particularly pharmaceuticals and biotechnology, that use genetic data from nature to make products will now have to share a portion of their profits to support biodiversity conservation.
   • Indigenous communities will benefit greatly, as 50% of Cali Fund resources will be allocated to them..
4. Global Biodiversity Framework (KMGBF) and Monitoring:
   • Governments strengthened regulations to track and report progress on biodiversity targets.
   • The updated KMGBF plan includes clear methods for measuring global progress toward meeting the 2030 biodiversity targets.
   • The first global assessment of biodiversity commitments will take place at COP17 (Armenia) in 2026, where governments will review whether they are on track with their goals.
5. Increased Participation:
   • The new system will incorporate input from young people, women, Indigenous communities, and the private sector, ensuring broad participation in conservation efforts.

Challenges Moving Forward:

• While financing commitments have been secured & monitoring systems put in place, the next challenge is to translate these decisions into concrete action.
• The world will be tracking countries’ preparations for COP17 in 2026, where progress on both biodiversity finance and conservation goals will be reviewed.

Source: Conference of the Parties (COP16), CBD DTE