The European Union (EU) announced a €12 million contribution to support countries to achieve national and global biodiversity targets under the United Nations Development Programme's Biodiversity Finance Initiative.
The EU funding will support the development of biodiversity credit markets involving Indigenous Peoples and Local Communities, improvements to the Finance Resource Database for Biodiversity (FIRE), and sustainable financing for Marine Protected Areas (MPAs).
BIOFIN has helped catalyze over US $1Bn in financing for nature across 41 countries since 2018, currently working with an additional 91 countries to support Biodiversity Finance Plans that will unlock new investments in nature and reduce spending that damages biodiversity.
The decision was announced on the sidelines of the biodiversity COP16 conference currently underway in Colombia, with representatives from over 190 countries participating in a global stock-taking on commitments made under the Kunming-Montreal Global Biodiversity Framework.
Global biodiversity is declining at unprecedented rates, with experts warning that over 1 million species are at risk of extinction due to habitat destruction, climate change, pollution, and overexploitation.
Regionally, the program will focus on marine financing in Western Africa and support investable projects through a Tiger Landscape Investment Fund set up earlier this year with a wide coalition of partners including the private sector.
At the national level, countries will scale up finance solutions from their Biodiversity Finance Plans, emphasizing result-based budgeting, private sector engagement, and biodiversity credit readiness.
The contribution will play a crucial role in advancing innovative finance solutions for biodiversity conservation, helping countries achieve their national and global biodiversity goals.
BIOFIN launches new methodology for robust financial management of public spending on biodiversity
Alongside the funding announcement, UNDP released new guidelines to help countries efficiently allocate public budgets to meet ambitious global biodiversity protection targets. The global biodiversity finance gap is estimated at an estimated US$700 billion.
BIOFIN's new Results-Based Budgeting (RBB) Guidelines, launched today, offer countries a methodology for more effectively harnessing available financial resources to invest in nature.
As 80% of biodiversity finance comes from public budgets, the guidelines emphasize the critical role that government spending will play in achieving biodiversity targets. The RBB framework ensures these funds are aligned with concrete goals.
"The Result-Based Budgeting guidelines are an important tool that allows countries to link budget allocations with measurable conservation outcomes, ensuring every dollar spent is working harder to safeguard the planet's biodiversity," said Onno van den Heuvel, Manager for the Biodiversity Finance Initiative.
The report emphasizes that biodiversity, is a global development priority that must be addressed by all sectors and levels of government. By using RBB, countries can integrate biodiversity considerations into various policies, planning, and budgeting processes, ensuring a whole-of-government approach to conservation.
