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Side Event #7295

Status: SCHEDULED

Date Monday
2026.10.19 @ 18:15
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Room Ashtarak - NGOs Group meeting room - Block 2, 3rd Floor

Capacity: 120 people
Conference COP-17 / CP-MOP-12 / NP-MOP-06
Meetings(s)
COP-17
Seventeenth meeting of the Conference of the Parties to the Convention on Biological Diversity
Title The DSI Multilateral Mechanism & the Cali Fund: What Is Needed to Enable Early Operationalization?
Hosts
EC | GEOMEDIA | Centro de Colaboracion Civica |
 

 

Description
Since the adoption of decision 16/2 in Cali (2024), important questions regarding its implementation, including enabling conditions to mobilize resource ("money-in"), distribution of benefits and impacts on IPLCs and biodiversity ("money-out") remain under discussion, and greater clarity on operational arrangements may be needed to support broader participation and benefit-sharing outcomes. At CBD COP 18, Parties will review the effectiveness of the mechanism established under Decision 16/2 on Digital Sequence Information (DSI), including the DSI Multilateral Mechanism (MLM) and the Cali Fund. It is thus important that at COP17, Parties identify ways to advance the implementation of the MLM and its Cali Fund within the next two years

This side event will present highlights and main outcomes of the 2026 Informal DSI Dialogue Process supported by the European Commission and Norway. The process brought together governments, Indigenous Peoples and Local Communities (IPLCs), industry, researchers and other stakeholders through global and regional dialogues, webinars and knowledge products.

Building on these exchanges, the event will explore practical options for advancing implementation of the DSI MLM and the Cali Fund ahead of COP 18. Particular attention will be given to the clarifications, confidence-building measures and risk-management approaches that could encourage early participation and contributions, while generating experience and evidence for the COP 18 review.

Side Event Elements

  • Overview on the CBD process and progress made on implementation of Decision 16/2.
  • Key findings from the 2026 Informal DSI Dialogue Process.
  • Party and stake- / rightsholder panel discussion on enabling an initial operational phase of the DSI MLM and the Cali Fund.

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1. Informal Global Dialogue on DSI and the Cali Fund - Report


Executive Summary and Key Messages compiled from the meeting The three-day informal global dialogue on Digital Sequence Information (DSI) brought together some 40 representatives from governments, indigenous peoples and local communities (IPLCs), the private sector, academia, and international organisations to advance the operationalisation of the multilateral mechanism for benefit-sharing from the use of DSI (MLM), including the Cali Fund, established under CBD COP Decision 16/2. Key Messages 1. From agreement to implementation Participants underscored that, following the political milestone of COP16, the priority has shifted decisively toward making the Cali Fund operational. Throughout the meeting discussions revealed a strong willingness of all to engage in a constructive manner and acknowledging that it is time to deliver and boost benefit-sharing for the benefit of biodiversity. While important progress has been achieved – particularly through the establishment of governance structures and ongoing technical work – significant uncertainties remain regarding practical modalities and lack of common understanding of several key concepts. 2. Trust as the central enabling factor A central conclusion of the dialogue was that trust is the critical foundation for success. Despite improving collaboration within formal bodies such as the Steering Committee, broader trust – particularly involving industry and IPLCs – remains fragile. Rebuilding confidence during the runup to COP17 requires: ● Transparent and inclusive processes ● Delivery of tangible results ● Continued need for informal exchanges to build common understanding, trust and partnership 3. Balancing ethics, incentives, and legal certainty Participants stressed that ethical responsibility must guide behaviour beyond formal compliance. At the same time, greater legal clarity and predictability are essential to incentivise private sector contributions and avoid regulatory fragmentation. 4. Key operational “construction sites” Several priority areas requiring further work were identified: ● Money IN (contributions): o Reducing regulatory uncertainty and avoiding overlapping obligations o Creating incentives and ensuring a level playing field o Exploring mechanisms such as “one-stop-shop” payment systems ● Money OUT (disbursement): o Clarifying direct vs. indirect funding to IPLCs o Ensuring transparency, accountability, and measurable biodiversity impact o Designing flexible funding modalities adapted to national contexts ● Non-monetary benefit-sharing (NMBS): o Lack of common definitions and tracking systems Report: Informal Global Dialogue on DSI and the Cali Fund, 10-12 March 2026, Leuven 4 o Need for a matchmaking platform to connect needs and offers o Strong demand for capacity building and development, particularly in bioinformatics Outstanding issues: o Clarification of key concepts (such as direct/indirect use) and trigger points o Mutual supportiveness with other international frameworks o Communication and awareness of the Cali Fund 5. Importance of practical testing through pilots There was strong consensus on the need to move from conceptual discussions to “learning by doing.” Six initial pilot concepts were developed, collectively covering: ● Financial flows (Money IN and OUT) ● Governance, transparency, and accountability ● Technical elements such as Cali Fund certificates These pilots’ ideas form a complementary testing framework, ranging from technical prototypes to full system validation, and could serve as basis for further discussions at COP17 and to generate evidence to further inform decisions at COP18. 6. Participants of the dialogue meeting and evolving stakeholder landscape The majority of the 40 participants were representing Parties and the private sector complemented with some representatives of IPLCs, academia and international organisations. The Dialogue was held under the Chatham House Rule, where participants are free to use the information received, but neither reveal the identity nor the affiliation of the speaker(s), nor that of any other participant. The dialogue reflected a significant shift in participation, with stronger engagement from the private sector, particularly from individual companies. 7. Roadmap for continued engagement Participants appreciated the opportunity to have informal settings to continue discussions on DSI and the Cali Fund. Based on this, they supported an informal, flexible roadmap – promoted and supported by Norway and the EU – offering additional opportunities to: ● combine knowledge generation and continue dialogue on key unresolved issues and “construction sites”, ● support and further feed into upcoming milestones of the formal process, particularly COP17, and ● offer support regarding the development of a pilot/testing phase. A pilot initiative was identified as a key next step to generate implementation-oriented insights as well as a webinar to inform a broader audience and reflect on the outcomes of the dialogue meeting in Leuven. Additionally, two other informal in-person meetings before COP17 were welcomed by participants: • one dedicated to IPLCs and industry, and • a second Informal Global Dialogue as a follow-up to the Leuven meeting. Report: Informal Global Dialogue on DSI and the Cali Fund, 10-12 March 2026, Leuven 5 Overall Conclusion The dialogue confirmed that the foundations for the MLM and Cali Fund are in place, but their success will depend on practical implementation, trust-building, and stakeholder engagement. Participants emphasised the need for a simple, transparent, and coordinated system, supported by clear incentives, measurable outcomes, and inclusive governance. Moving forward, a pragmatic and iterative approach – combining exchange, testing, and learning – will be key to ensure that the mechanism delivers tangible biodiversity benefits while maintaining open access to DSI and fostering broad participation.

Report-Leuven-Report_Back_Webinar_260603.pdf

 

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