UNDP and UNEP launch the Cali Fund at COP16 in Rome, heralding a new era of biodiversity financing

26 February 2025, Rome, Italy – On the margins of the resumed session of the 16th Conference of the Parties (COP16) to the Convention on Biological Diversity (CBD) in Rome, UNDP and UNEP officially launched the Cali Fund for the Fair and Equitable Sharing of Benefits from the use of Digital Sequence Information on Genetic Resources (DSI) - the Cali Fund. This global initiative marks a significant milestone in biodiversity finance, bringing new resources to support the conservation and sustainable use of biodiversity.

Photo: From L-R: Taukondjo Shikongo, CBD Secretariat; CBD Executive Secretary Astrid Schomaker; and COP 16 President Susana Muhamad, Colombia, IISD

The Cali Fund will receive contributions from private sector companies that commercially utilize digital sequence information (DSI) - genetic data from plants, animals or microorganisms found in nature. This innovative approach aligns with the principles of equitable benefit-sharing, ensuring that industries benefiting from nature’s genetic resources contribute a fair share of their revenue or profits back to biodiversity protection.

At least 50% of the Fund’s resources will be allocated directly to Indigenous Peoples and local communities, acknowledging their critical role as custodians of biodiversity. The Fund will also support the implementation of the Kunming-Montreal Global Biodiversity Framework (KMGBF) and broader objectives of the Convention on Biological Diversity.

“It’s time to recognize and fairly compensate Indigenous peoples and local communities, ensuring finance reaches those protecting nature on the ground. We hope that companies and partners step up and contribute, making biodiversity finance a reality,” said Onno van den Heuvel, Head of UNDP’s Biodiversity Finance Portfolio.

Photo: Onno van den Heuvel, Head of Nature Finance, UN Development Programme - Nature Hub

With extensive experience in biodiversity finance mechanisms, including through BIOFIN and other global initiatives supported by GEF and bilateral partners, UNDP and UNEP are committed to making the Cali Fund a success by engaging key stakeholders and mobilizing resources effectively.

Watch the official launch of the Cali Fund: 

Major Outcomes from COP16 Resumed Session in Rome

From 25 to 27 February 2025, world leaders, negotiators, and biodiversity experts convened in Rome for the second resumed session of CBD COP16. The conference resulted in several landmark agreements crucial to the successful implementation of the Kunming-Montreal Global Biodiversity Framework (KMGBF).

• Agreement on the Resource Mobilization Strategy

One of the most anticipated outcomes of COP16 was the adoption of a Resource Mobilization Strategy aimed at closing the biodiversity finance gap. Countries agreed to mobilize $200 billion per year by 2030, with a target of $20 billion per year in international financial flows by 2025, scaling up to $30 billion per year by 2030. This strategy will be instrumental in channeling new and additional resources toward biodiversity conservation efforts.

• Adoption of Indicators for Monitoring Framework

To ensure accountability in the implementation of the Global Biodiversity Framework, countries reached a consensus on key indicators within the Monitoring Framework. These include:

• Nature-related financial disclosures (Target 15): Encouraging companies and financial institutions to disclose their impact on biodiversity and integrate sustainability into their business models.
• Economic incentives for biodiversity-positive actions (Target 18): Redirect subsidies and other financial instruments to reduce environmentally harmful activities and promote investments in nature-positive solutions.

Photo: Presidency and Secretariat consultations after the closing of the morning plenary, IISD

These agreements mark a crucial step in the transition toward nature-positive economies, aligning financial flows with biodiversity conservation and sustainable development goals.

For full details, read the closing press release of CBD COP16. 

As the world moves forward with implementing the Kunming-Montreal Global Biodiversity Framework, initiatives like the Cali Fund will play a pivotal role in mobilizing resources, ensuring fair benefit-sharing, and driving concrete action for nature. With strong commitments from governments, private sector actors, and Indigenous communities, COP16 has set the stage for a transformative decade in global biodiversity finance.