COP16 Agrees to Raise Funds to Protect Biodiversity

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COP16 President Susana Muhamad. Parties to the UN Biodiversity adopted decisions to implementation of the Global Biodiversity Framework. Credit: IISD Earth Negotiations Bulletin/Mike Muzurakis.by Tanka Dhakal (bloomington, u.s.a & rome)Friday, February 28, 2025Inter Press Service

BLOOMINGTON, U.S.A & ROME, Feb 28 (IPS) - The second round of the UN Biodiversity Conference, COP16, concluded in the early hours of Friday, February 28 in Rome, with an agreement to raise the funds needed to protect biodiversity.

COP16 was suspended in Cali, Colombia, in 2024 without any major financial support decision to support biodiversity conservation. But in the second round of the conference in Rome, Italy, governments agreed on a financial strategy to address the action targets of the Kunming-Montreal Global Biodiversity Framework (KMGBF), which was adopted in 2022 with the aim of closing the biodiversity finance gap.

In a final document, all parties to the biodiversity convention agreed to mobilize resources to close the global biodiversity finance gap and achieve the target of mobilizing at least 200 billion dollars a year by 2030, including international flows of USD 20 billion per year by 2025. Which will be rising to USD 30 billion by 2030.

In the closing press briefing in the early hours of Friday, COP16 President Susana Muhamad said the Rome conference came to a successful end. “It was a remarkable achievement of being able to approve all the decisions, especially the most contentious, difficult decisions." She said, “And not in a way that made the parties feel that they were compromising their main objectives.”

The agreement includes the commitment to establish permanent arrangements for the financial mechanism in accordance with Articles 21 and 39 of the Convention while working on improving existing financial instruments. It also includes a roadmap of the activities and decision-making milestones until 2030.

COP16 president Muhamad also said that the agreement between governments in Rome will help bring the agendas of biodiversity and climate change together. In November, Belem in the Amazon rainforest region of Brazil will be hosting the UN climate conference, COP30.

“The importance of these resolutions that have been approved in Cali and also here of the cooperation between the different conventions,” she said.

The biodiversity COP also adopted a Strategy for Resource Mobilization to mobilize the funds needed for implementation of the KMGBF. Which includes public finance from national and subnational governments, private and philanthropic resources, multilateral development banks, blended finance, and other approaches.

The Cali Fund

The Rome gathering of parties also agreed to establish a dedicated fund for fair and equitable sharing of benefits from the use of Digital Sequence Information on Genetic Research (DSI), known as the Cali Fund.

The fund was launched on 26 February 2025—at least 50 percent of its resources will be allocated to indigenous peoples and local communities, recognizing their role as custodians of biodiversity. Large companies and other major entities benefiting commercially from the use of DSI are expected to contribute a portion of their profits or revenues in sectors and subsectors highly dependent on the use of DSI.

Pharmaceuticals, cosmetics, plant and animal breeding, agricultural biotechnology, industrial biotechnology, laboratory equipment associated with the sequencing and use of digital sequence information on genetic resources, and information, scientific and technical services related to digital sequence information on genetic resources, including artificial intelligence. Academic, public databases, public research institutions and companies operating in the concerned sectors but not relying on DSI are exempt from contributions to the Cali Fund.

The fund is part of a multilateral mechanism on the fair and equitable sharing of benefits arising from the use of digital sequence information on genetic resources adopted at COP15 in December 2022 alongside the KMGBF.