Brazil Unveils $125 Billion Tropical Forest Fund at UN Climate Summit
At a UN climate summit in Belem, Brazil, world leaders gathered to discuss urgent strategies for reducing emissions and safeguarding ecosystems. Brazil announced a landmark initiative, the Tropical Forest Forever Facility, a $125 billion fund designed to protect the planet’s tropical forests.
The initiative received an immediate boost with $5.5 billion in initial pledges from countries including Norway, France, Indonesia, and Brazil itself. Germany also confirmed a “considerable” contribution, signaling strong international support. The fund aims to pay 74 developing nations for each hectare of forest they preserve, making conservation more profitable than deforestation.
Unlike traditional donation-based efforts, this facility is financed through interest-bearing debt. Returns on investments will reward participating countries while ensuring long-term sustainability. A key provision guarantees that 20% of payments go directly to Indigenous communities, recognizing their vital role in forest stewardship.
Experts say the initiative could become a model for global forest conservation, helping to regulate carbon levels and combat climate change. However, gaps in participation from other major nations highlight ongoing challenges in securing unified international action.
The Tropical Forest Forever Facility represents a major shift in climate finance, blending environmental protection with economic incentives to secure the world’s forests for future generations.
