World leaders, diplomats and biodiversity experts have gathered in Yerevan, Armenia, for COP17, the United Nations biodiversity conference, amid mounting concerns that countries are falling short of global targets to protect nature and unresolved disputes over funding.

The 17th Conference of the Parties is the first major assessment of progress under the Kunming-Montreal Global Biodiversity Framework, adopted in 2022. The agreement aims to protect 30% of the world’s land and sea by 2030. The climate-focused COP31 is scheduled to begin on November 9 in Antalya, Turkey.

Although global land protection is projected to reach an estimated 27.5% by 2030, scientists warn that broader efforts to reverse biodiversity loss remain significantly off track. Unsustainable fishing, pesticide use and subsidies that encourage environmentally damaging activities continue to threaten ecosystems, food production, water security and economic stability.

A draft United Nations report showed that countries were not on track to achieve 22 of the framework’s 23 targets.

While 144 countries, including Brazil and China, have developed national action plans, questions remain over how governments will finance their commitments. Securing contributions towards a $30 billion public finance target is expected to be a central issue during the two weeks of negotiations in Armenia’s capital.

The broader ambition is to mobilise at least $200 billion annually by 2030.

Another priority is reforming $500 billion in annual subsidies for activities that harm nature. Governments are being urged to establish a two-year timeline for identifying and redirecting the most damaging incentives.

These could include agricultural subsidies that encourage rainforest clearance and state discounts on synthetic fertilisers and chemical pesticides that damage soil and water.

Reforming such incentives could help governments tackle biodiversity loss alongside food and energy security concerns without requiring additional public spending amid wars, energy crises and inflationary pressures.

“This isn’t ⁠primarily a story about conservation,” said Eva Zabey, CEO of the non-profit Business for Nature, at a media briefing. “It’s an economic, fiscal, political and competitiveness story, which is grounded in resilience and resource security.”

Businesses are also pressing governments for clearer policies. More than 130 companies, including retailer H&M and consumer goods company Nestle, issued an open letter ahead of the conference calling for stronger policy direction and a plan to reform incentives within the next 12 months. They argued that clearer rules would make investment more attractive.

The financial burden of harmful subsidies extends beyond government payments. Non-profit Conservation International estimates that such subsidies ultimately cost governments between $11 trillion and $24.7 trillion annually, as public authorities often pay both to support damaging activities and to address their consequences, including pollution clean-up, illness treatment and infrastructure repairs.

Private sector under pressure to contribute

With public finances constrained, governments and conservation advocates are seeking greater private-sector involvement, including through the Cali Fund.

Established in 2025, the fund aims to encourage companies that use digital databases of biological samples in products to contribute towards nature conservation. Relevant industries include pharmaceuticals, cosmetics and commercial agriculture.

However, key questions remain about how the money should be distributed between countries and Indigenous communities. Negotiators must also consider whether contributions should be calculated using companies’ total revenue when only part of their operations depends on these genetic resources.

Cristián Samper, managing director and leader of Nature Solutions at the Bezos Earth Fund, said COP17 also presents an opportunity for governments to strengthen efforts to prevent species extinction.

“We know recovery is possible. The decisions ​we make in Armenia should give more conservation teams the backing to make it happen,” he said.

Source: Reuters