Finance Innovations for Biodiversity Take Center Stage as over 40 Countries Convene for Asia-Pacific Dialogue

3 September 2025, Da Nang, Viet Nam - More than 120 biodiversity finance experts and government representatives from Europe, Asia, and the Pacific gathered in Da Nang for one of the region’s largest-ever exchanges on biodiversity finance, organized by UNDP’s Biodiversity Finance Initiative (BIOFIN) and the Government of Viet Nam.  

 “Viet Nam is among the world’s most biodiversity-rich countries. Protecting this natural wealth is essential—not only for ecosystems, but also for food security, jobs, and resilience. The strength of BIOFIN lies in its systems approach: aligning policies, incentives, and markets so that economies grow by protecting nature, not by depleting it,” said Ramla Khalidi, UNDP Resident Representative in Viet Nam.

Photo: Ramla Khalidi, UNDP Resident Representative in Viet Nam

The Eurasia-Pacific Regional Dialogue will be the first time over 40 countries in the region come together to explore investment-ready solutions to protect biodiversity since the UN Biodiversity COP16 in Cali in 2024.  

In an era of declining international development assistance, these finance solutions are offering governments alternative strategies to mobilize resources for nature and biodiversity protection.   

UNDP’s BIOFIN methodology has catalyzed over US$1.6 billion in financing for nature in the 41 countries that started adopting finance solutions in 2018. Highlights include Viet Nam, Malaysia, Philippines, Thailand, Sri Lanka, Mongolia, Kazakhstan, and more.  

“Scaling biodiversity finance is not only about raising funds—it’s about transforming systems, creating the enabling conditions for channeling recurring finance for nature and people. The momentum in Eurasia and the Pacific shows what’s possible when countries take ownership and break silos and partners provide catalytic support. By combining innovative tools such as green bonds, nature-based insurance, and biodiversity credits with strong government and private sector partnerships, we are proving that finance can drive ecosystem conservation while lifting communities,” said Martin Cadena, Global Manager, UNDP BIOFIN.

Photo: Martin Cadena, Global Manager, UNDP BIOFIN

Over three days, countries are expected to advance a new generation of finance approaches, linking public policy reforms with innovative financial instruments and forging stronger private sector partnerships. 

The agenda spotlights how tools such as green bonds, nature-based insurance, biodiversity credits, and debt and equity instruments can be scaled to achieve national biodiversity goals while driving inclusive economic growth. 

Expanding Impact with support from the GEF 

With support from the Global Environment Facility (GEF), 26 countries in the Eurasia and Pacific regions are developing biodiversity finance plans for the first time—laying the foundation for long-term financing that aligns national development priorities with the global biodiversity agenda. 

They are part of a 91-country cohort advancing their national Biodiversity Finance Plans through UNDP-BIOFIN’s global partnership with the GEF.  

Together with the original 41 participating countries, BIOFIN has now expanded to more than 130 countries worldwide, making it the largest global initiative of its kind. 

Finance for Finance 

The global shortfall in biodiversity funding is estimated at over $700 billion per year. 

As traditional development aid continues to decline, the need for more catalytic funding models has never been greater. Finance for finance — the strategic use of development aid resources to unlock much larger pools of public and private finance — offers a critical pathway forward.   

UNDP’s BIOFIN has deployed a finance-for-finance approach in 41 countries to catalyze over $1.6bn for nature since 2018.  

“Viet Nam reaffirms its commitment to continue working hand in hand with the international community toward our shared goal: a sustainable future in harmony with nature,” said Nguyen Quoc Tri, Vice Minister of Agriculture and Environment of Vietnam.

Photo: Nguyen Quoc Tri, Vice Minister of Agriculture and Environment of Vietnam

‘Harmful Subsidies’ and private sector engagement on the radar  

Attending delegates will also explore how repurposing subsidies that are environmentally destructive can not only offer fiscal savings for governments but also biodiversity gains. UNDP-BIOFIN is supporting countries with a methodology to identify and reverse public spending that is harmful to nature.  

The conference is also geared to recognize the growing role of the private sector in driving nature-positive investment decisions, through blended finance instruments such as green bonds, and approaches such as access and benefit sharing as well as contributions for genetic resources that their business are anchored to.   

A global shift to nature-positive policies could generate as much as $10 trillion in new business opportunities, according to UNDP’s Nature Pledge – a multi-year high-ambition corporate commitment to support 140 countries to accelerate global environmental action at scale for the benefit of people, planet, peace, and prosperity. 

Finance Innovations in Action 

The three-day Eurasia-Pacific Regional Dialogue aims to help countries move from planning to implementation—with the new cohort benefiting from the solutions that have already succeeded in their respective regions.  

For example: 

• Vietnam started a transformative shift in marine conservation—moving beyond a strictly state-led model toward inclusive co-management with communities, local cooperatives, private sector and other non-state actors.  

• Malaysia institutionalized Ecological Fiscal Transfers, channeling $177.3 million from federal to state governments since 2019, creating 350,000 hectares of new protected areas. 

• Philippines increased its public budget for protected areas to $122.3 million, with an additional $38.5 million allocated for 2025. Local governments also mobilized $7.8 million for biodiversity projects in just two years. 

• Indonesia tracked $2.02 billion in biodiversity-related budgets across 21 ministries and launched the Maluku Parrot Conservation Centre with Sukuk funding, saving over 1,500 birds and animals between 2023–2024. 

• Mongolia boosted biodiversity investments by 217% ($14 million) through strengthened implementation of the Natural Resource Use Fees Law. 

• Thailand’s Koh Tao generates $300,000 annually for coral reef conservation and waste management through fees charged to tourists, and this model is now being replicated on two other islands. 

• Sri Lanka launched a livestock insurance program to protect the Sri Lankan Leopard and continued expanding a sustainable tourism certification to small and medium enterprises. 

• India (Telangana State) increased biodiversity budgets sevenfold—from $150,000 in 2023 to $1.2 million in 2024—following BIOFIN-supported policy advocacy.