COP16: Progress Stalls, but New Hope Emerges for a Nature-Positive Future

This was the first gathering since 196 countries agreed to the Kunming-Montreal Global Biodiversity Framework, which established twenty-three targets for countries to halt and reverse by 2030, alongside four long-term goals to achieve “harmony with nature” by 2050.  

Nature plays a critical role in regulating our climate, mitigating climate impacts and supporting our economic system, with more than half of global GDP - $44 trillion – estimated to be moderately or highly dependent on nature. In the face of unprecedented levels of nature loss, the pressure was on for decision-makers in Cali to take decisive action and mobilise widespread efforts towards achieving a nature-positive future.  

However, after twelve days of events, announcements and negotiations, COP16 concluded after a final 10-hour hour plenary session, which saw progress falter on several key issues, in part, because some delegates had to leave early to catch flights, leaving the conference without the quorum required to continue.

What needs revisiting? 

With the GBF agreed two years earlier at COP15, COP16 was meant to be a chance for countries to present their National Biodiversity Strategies and Action Plans (NBSAPs), detailing how they plan to implement the GBF’s targets and goals. Yet, as the conference closed, only 44 of the 195 signatories had submitted their NBSAPs, with some of the world’s most biodiverse countries among those yet to submit. The remaining countries – including the UK – have been urged to submit their plans “as soon as possible”. However, the failure of so many countries to meet this deadline highlights a lack of urgency and a need for stronger collaboration between businesses and governments to bring these plans to fruition.  

Redirecting society toward a nature-positive will require significant levels of financial investment and redirection. The estimated nature funding gap currently stands at roughly $700 billion a year and with target 19 of the GBF outlining an ambition to mobilise $200 billion by 2030, there was a feeling that COP16 had to make progress on unlocking nature finance. Yet, despite the presence of more finance and business leaders than ever before, no major breakthrough was achieved. Disagreements between developed and developing countries over a new financial mechanism proved to be a major stumbling block and at the close of negotiations, only $400 million had been committed to addressing nature loss – far short of what is needed.  

Where breakthroughs were made? 

A key breakthrough was reached in the form of Cali Fund - a global levy on products made using genetic data from nature, which will help to ensure the benefits companies receive from the use of genetic information are shared with. Biodiversity rich countries have long argued that they should be fairly compensated for the genetic information companies use to develop new pharmaceutical, cosmetic and agricultural products. The agreement reached states that companies that that presently enjoy “free and extensive access to this data” now, “should contribute” 1% of their profits to the new Cali Fund, to be shared with Indigenous Peoples and Local Communities (IPLCs). While this fund is only voluntary and has faced criticism for this limitation, it represents a step in the right direction toward creating pressure on countries to contribute their fair share.  

Perhaps even more significant was the elevation of IPLCs through the creation of a new permanent body of the Convention on Biological Diversity (CBD). IPLCs were a centre of COP16, where for the first time, countries formally recognised their role as custodians of nature within a multilateral agreement and secured their place in future decision-making processes. This marks a historic and celebratory moment at COP16 and highlights a growing awareness of the critical role IPLCs play in safeguarding nature.  

Sustaining momentum 

Ultimately, many delegates left Cali frustrated by the lack of progress, particularly the failure to mobilise greater levels of nature finance. However, the increased presence of business and finance leaders at COP16 serves as a clear indication that nature restoration is receiving unprecedented levels of attention from the business and finance communities. 

Maintaining this momentum is crucial, especially after COP29, where nature slipped back down the agenda. It’s essential we continue to hammer home the message that restoring nature is not merely a secondary benefit of climate action but a fundamental pillar of our net zero journey. By doing so, we can drive the collective action necessary to address the intertwined crises of nature destruction and climate change – and accelerate the transition to a low carbon economy.

Written by Jonathan Marriage, Content Manager, Innovation Zero