A landmark agreement was reached during the United Nations COP16 biodiversity conference, held recently in Rome, to mobilize billions of dollars aimed at protecting the planet's biodiversity. The 196 countries supporting the Convention on Biodiversity (CBD) came together after intense negotiations to commit to raising at least $200 billion per year by 2030, marking what many see as a pivotal moment for global environmental efforts.
CBD executive secretary Astrid Schomaker emphasized the significance of this meeting: "The results of this meeting showthat multilateralism works and is the vehicle to build the partnerships needed to protect biodiversity." She noted the importance of this financial commitment, stating, "The world will have been granted the means to close the biodiversity finance gap." This deal is intended to fund the historical agreement reached by signatories last year under the Kunming-Montreal global biodiversity framework, which aims to halt and reverse biodiversity loss by 2030.
The financial framework has been deemed necessary following an unsuccessful attempt to achieve similar agreements at last year’s conference held in Cali, Colombia. The World Wildlife Fund (WWF) expressed its support for the resolution, describing it as "hard-fought." Efraim Gomez, global policy director at WWF International, remarked, "State parties have taken a step in the right direction. We commend them for reaching these multilateral gains amid challenging global politics."
Despite this progress, Gomez expressed concern over the commitments made by developed nations, stating, "Investing in nature is existential, it is global life insurance. Through it, we can mitigate the climate crisis..." He highlighted how the reality currently shows developed countries are not on track to honor their promise to mobilize $20 billion for developing nations by 2025.
According to the World Economic Forum, the interdependence of global GDP on biodiversity is alarming; over half of the world's total GDP is at least moderately dependent on nature. The Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services reports alarming statistics, noting a quarter of animal and plant species are now threatened. These statistics indicate alarming risks to financial institutions due to the declining state of biodiversity.
Notably, central banks are becoming increasingly aware of the financial risks posed by nature’s declining health. WWF notes how deforestation and land conversion are key contributors to biodiversity loss, posing not only ecological challenges but also serious risks to financial systems. A report by international NGOs points out the role banks have played, having provided over $395 billion since 2015 to industries like beef and palm oil, known for their contributions to deforestation.
During the COP16 conference, strategies emerged on how to mobilize necessary funding from multiple sources, including governments, private and philanthropic contributions, and multilateral development banks. The European Commission called reaching this agreement significant, especially under the current challenging geopolitical climate affecting biodiversity policies and financing. The EU, along with its member states, is regarded as the main provider of international biodiversity funding, having allocated €7 billion for the period of 2021-2027, reflecting its commitment to biodiversity-related activities.
Laura Caicedo, campaigns coordinator for Greenpeace Colombia, lauded the agreement but stressed the necessity of translating these commitments effectively: "It is now pivotal... translate today’s decisions to real funding to protect biodiversity." She expressed urgency, indicating the current crisis necessitates immediate action, rather than mere promises.
With growing acknowledgment of biodiversity's significance to the economy, the European Commission has indicated plans to allocate 10% of its future budgets for biodiversity activities starting from 2026. This move aligns with the global momentum to address the biodiversity crisis, evidencing the commitment to safeguard not only the environment but also the foundations upon which economic stability rests.
Looking forward, the recent COP16 agreement promises to be both groundbreaking and necessary as nations around the world confront the reality of declining biodiversity. The collective support for this initiative signals to the global community the urgency of the matter, highlighting the ethical, ecological, and financial imperatives to not only preserve nature but to reinvest to mitigate the impending crisis. It is clear from these discussions and subsequent results, the world has come together at COP16 to lay the groundwork for future conservation efforts.