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Saudi Arabia’s Call to Action at COP16: The Need for Increased Private Sector Funding on Land Restoration

The COP16 conference, organized under the auspices of the UN Convention to Combat Desertification (UNCCD), kicked off in Riyadh, Saudi Arabia, on December 5, 2024. The inaugural event, known as Land Day, marked the beginning of a series of thematic days intended to address critical issues surrounding land degradation, desertification, and drought. This year’s event has been particularly significant in urging the private sector to significantly increase its investment in land restoration efforts, specifically in response to a pressing finance gap termed as a “black hole” in funding.

Urgency of Private Investment

A recent report highlighted that a mere 6% of financial commitments toward land resilience and restoration initiatives are sourced from private investments. The urgency for these investments is underscored by economic forecasts predicting a staggering loss of 23 trillion dollars by 2050 due to inaction against soil degradation, desertification, and drought-related crises.

Exploring the role of business in this pressing issue, the forum titled “Business for Land” assembled high-level stakeholders from various sectors, including government officials, corporate leaders, and civil society representatives. The discussions aimed at fostering bilateral partnerships and enhancing private sector engagement in combating land degradation.

During the opening speech at the forum, Eng. Abdulrahman Abdulmohsen AlFadley, president of COP16 and Saudi Arabia’s minister of environment, water, and agriculture, declared, “Our presidency at COP16 aims to create a robust framework for public-private partnerships and establish a roadmap for rehabilitating 1.5 billion hectares of land by 2030.” This ambitious goal seeks to harness collaborative endeavors to rejuvenate degraded lands worldwide.

The director of the World Economic Forum, Gim Huay Neo, also emphasized the need for diversifying funding options during the event. Neo conveyed that it’s critical to capitalize on various funding sources, including philanthropy, corporate social responsibility, development finance, mixed financing, grants, and traditional venture capital. By broadening the financial lens, new investment opportunities may be unearthed to support restoration activities.

Synergizing Global Efforts

Earlier this year, a series of dialogues took place at a range of global forums, including at the UN General Assembly and previous COP events, analyzing the interconnected issues causing land degradation, biodiversity loss, and climate change. These discussions culminated in a commitment to advancing common solutions and enhancing collaborative measures among diverse stakeholders.

Osama Faqeeha, vice-minister of environment, highlighted, “For the international community to restore lands adequately, the private sector must elevate its investment levels. Current funding for tackling soil degradation, desertification, and drought remains alarmingly low.”

As the conference progresses, attention will also be directed towards the specific challenges faced by various land types worldwide. Discussions will cover natural prairies known as pastures, which constitute approximately 54% of the Earth’s land cover, and how to mobilize necessary funding for their preservation and restoration. Pastures are crucial ecosystems that significantly impact global food security and carbon storage but face critical degradation, with over 50% already compromised.

The economic implications are severe, as continued degradation jeopardizes one-sixth of global food supplies and one-third of the planet's carbon reserves. “The degradation of these vital lands contributes not only to food insecurity and climate change but also leads to forced migrations,” Faqeeha added during his comments.

Looking Ahead

The UNCCD COP16, themed “Our Land. Our Future,” runs until December 13, 2024, at the Boulevard Riyadh World. The conference aims to catalyze multilateral actions addressing critical issues including drought resilience, land tenure reforms, and responses to sand and dust storms. Through this conference, the Saudi presidency looks to galvanize international efforts in harnessing financial resources to combat land degradation and ensure a sustainable future:

For more information on COP16, including potential participation, visit UNCCDCOP16.org.