Brazil through its President Luiz Inacio Lula da Silva has pledged a landmark investment of US$1 billion into the newly created Tropical Forest Forever Facility (TFFF), a global financing initiative spearheaded by Brazil’s COP30 presidency to provide long - term, predictable funding for tropical forest conservation and restoration.
The fund will be use a blended financial model, combining public and private investment attracting contributions from governments and private investors, to generate returns from a diversified portfolio that will then fund forest protection efforts.
The goal is also to create economic incentives for countries which must have transparent financial management systems to be eligible to maintain standing forest by providing performance - based payments.
In addition the initiative aims to raise a relevant amount of capital, and a significant portion of the resources will be dedicated to indigenous peoples and traditional communities, who play a critical role in forest protection.
The Brazilian President underlined that without the leadership of those who live in and depend of tropical forests, there can be no sustainable solutions to climate change and he also urged other nations to match Brazil’s ambition so the fund can be formally launched at the UN Climate Change Conference (COP30) that will take place in November 2025 in Belem, capital of the state of Pará, relevant port city and gateway to Brazil’s lower Amazon.
By COP30, the initiative aims to raise US$25 billion in junior capital from governments, which would then to be leveraged to attract senior private capital of up to US$125 billion.
According to environmental analysts, this could generate an average annual payment per hectare of preserved forest.
Link
https://tvbrics.com/en/news/brazil-pledges-us-1-billion-to-global-tropical-forest-protection-fund/
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