Libya

Libya’s biodiversity spans Mediterranean marine and coastal ecosystems, wetlands, oases, mountains and extensive desert landscapes. These natural assets underpin livelihoods, fisheries, agriculture, ecosystem services and resilience to climate change. Yet biodiversity faces pressures from habitat degradation, pollution, unsustainable resource use, climate change and gaps in environmental management.

Financing conservation remains challenging. Biodiversity-related expenditure is spread across public institutions and sectoral budgets, while a consolidated picture of spending, financing needs and available resources has yet to be established. Public budget allocations and externally supported programmes remain important sources of environmental finance. Opportunities to mobilize additional resources through improved budget planning, partnerships and innovative financing approaches require further assessment. Institutional fragmentation and competing national priorities make coordination between environmental and financial authorities especially important.

Since 2025, the United Nations Development Programme (UNDP), through the Biodiversity Finance Initiative (BIOFIN), has supported Libya in developing a systematic, evidence-based approach to biodiversity finance. The programme works with relevant national institutions, including authorities responsible for environment, finance, planning and natural resource management, alongside academia, civil society and other stakeholders. Its purpose is to help integrate biodiversity considerations into public financial management and national development decisions and to identify feasible options for financing conservation priorities.

BIOFIN Libya follows four complementary methodological stages. The Policy and Institutional Review (PIR) examines the policy, legal and institutional context shaping biodiversity finance; it advanced through national validation in July 2026. The Biodiversity Expenditure Review (BER) assesses how much is being spent on biodiversity and by whom. The Financial Needs Assessment (FNA) will estimate resources needed to meet national biodiversity priorities. The findings will inform a Biodiversity Finance Plan (BFP), envisaged for 2027, identifying and prioritizing actionable finance solutions.

This work is intended to support Libya’s national biodiversity priorities and alignment with the Kunming–Montreal Global Biodiversity Framework. Expected outcomes include stronger interinstitutional coordination, improved visibility of biodiversity expenditure, more robust estimates of financing gaps, and a practical pipeline of finance solutions that can be considered by national decision-makers. By linking environmental objectives with fiscal policy and investment planning, BIOFIN Libya aims to lay the groundwork for more sustainable, transparent and nationally owned financing for nature.

The following are potential solutions for consideration and assessment; none should be presented as an approved or implemented BIOFIN finance solution at this stage.

1. Biodiversity-responsive budgeting and expenditure tracking
   Description: Explore biodiversity budget tagging, expenditure classification and reporting to improve visibility and effectiveness of public spending on nature.
   Stage: Idea / feasibility consideration.
   Potential lead agencies and partners: Ministry of Finance, Ministry of Planning, environmental authorities and UNDP.
2. Sustainable financing for marine and coastal conservation
   Description: Assess financing options for marine habitat protection, biodiversity monitoring and sustainable fisheries, including possible public–private and international funding partnerships.
   Stage: Idea / feasibility consideration.
   Potential partners: Environmental and marine resource authorities, fisheries representatives, research institutions and conservation partners.
3. Private sector biodiversity partnerships
   Description: Examine structured voluntary contributions and investment partnerships involving energy, financial services, tourism and other sectors, with safeguards and transparent governance.
   Stage: Idea / feasibility consideration.
   Potential partners: Relevant public authorities, National Oil Corporation, banks and private companies.
4. Ecosystem restoration and nature-based solutions finance
   Description: Explore financing opportunities for restoration of degraded habitats, wetlands and oases and locally relevant nature-based solutions.
   Stage: Idea / feasibility consideration.
   Potential partners: Environmental, agriculture and water institutions, municipalities and development partners.
5. Community-based circular economy and conservation initiatives
   Description: Explore incentive-based collection and recycling models that could support local environmental actions and awareness.
   Stage: Early concept; pilot not yet confirmed.
   Potential partners: Municipalities, schools, community organizations and businesses.

Final prioritization, institutional ownership and stages will be determined through BER/FNA findings and development of the BFP.

Progress to date (2025–2026):

• BIOFIN Libya initiated its national process in 2025, with consultations involving environmental, financial and sectoral stakeholders.
• The Policy and Institutional Review (PIR) was prepared and underwent national validation in July 2026. Final publication and approval status should be confirmed before posting.
• The Biodiversity Expenditure Review (BER) and Financial Needs Assessment (FNA) have moved into preparation and data collection, including institutional mapping and engagement planning.
• National coordination and stakeholder engagement have progressed, including steps toward formal governance arrangements.
• Libya participated in BIOFIN regional/global technical exchanges and produced country communication materials.

Expected results / next milestones:

• Complete BER and FNA to establish a stronger evidence base for expenditure and financing gaps.
• Develop a Biodiversity Finance Plan in 2027, identifying prioritized and nationally appropriate solutions.
• Strengthen collaboration between finance and environment institutions and improve tracking of biodiversity-related public expenditure.
• Assess potential public, private and international financing channels; set quantified mobilization and budget targets only once baseline assessments and institutional decisions are available.

Related UNDP achievement (not a direct BIOFIN result): approval of a US$1 million Kunming Biodiversity Fund project for shark and ray conservation in Libyan waters.