EU and ASEAN announce two flagship biodiversity programmes worth €30 million
EU and ASEAN announce two flagship biodiversity programmes worth €30 million
Langkawi, 4 September 2025 - On the sidelines of the 1st ASEAN–EU Ministerial Dialogue on Environment and Climate Change, the European Union announced two regional programmes aimed at scaling up nature-based solutions, biodiversity conservation, and climate resilience across Southeast Asia. A total of EUR 30 million EU contribution will be invested in ASEAN’s green transition through them.
The programmes directly contribute to ASEAN’s commitments under the Kunming–Montreal Global Biodiversity Framework and the Paris Agreement. They also form part of the broader Team Europe strategy to accelerate a just and green transition in Southeast Asia.
These two transformative projects show the EU’s commitment to ASEAN — they will deepen our longstanding partnership for a more sustainable and resilient future,” said European Commissioner Jessika Roswall, who attended the ceremony. “Nature does not recognise borders. The EU and ASEAN have the opportunity to act boldly as strategic partners and tackle environmental challenges together for the benefit of future generations across our regions.”
The initiatives — the Nature Solutions Finance Hub (NSFH) in partnership with the Asian Development Bank (ADB) and the ASEAN Small Grants Programme Phase III (SGP III) with the ASEAN Centre for Biodiversity (ACB) and KfW — are part of the EU Global Gateway strategy. They will mobilise additional funding and contribute to enhanced and better protected biodiversity in the region benefitting local communities.
Nature Solutions Finance Hub (NSFH)
With an EU contribution of EUR 15 million, NSFH aims to mobilise around EUR 1.5 billion in nature-positive investment by 2030. Implemented by ADB, the programme will support the development of scalable projects and innovative finance instruments such as Nature Bonds, Payments for Ecosystem Services, and Results-Based Financing. It will also strengthen institutional capacity for sustainable infrastructure and policy reform across ASEAN.
ASEAN Small Grants Programme Phase III (SGP III)
Building on two successful previous phases, SGP III will channel community-driven conservation efforts in and around ASEAN Heritage Parks. With a total budget of EUR 20 million (EUR 15 million EU funding and EUR 5 million in-kind contribution from ACB), the programme will support agroforestry, eco-tourism, alternative livelihoods, and inclusive governance models. KfW will continue to provide technical and financial advisory support.
“The EU remains one of the most committed and consistent partners for biodiversity and communities in our region,” said Dr Jerome Montemayor, Executive Director of the ACB. “Through the national and regional targets of the SGP III, we aim to replicate the best practices from SGP I and II across other AHPs in select sites and on a broader regional level. By partnering with experienced organisations to implement the programme on the ground, these initiatives will empower local actors to drive meaningful change and magnify impacts on the ground.”
The ceremony was held at the Westin Hotel, Langkawi, and attended by high-level representatives from the EU, ASEAN, ACB and host country Malaysia.