Brazil has introduced the Tropical Forests Forever Facility, a groundbreaking worldwide fund aimed at increasing the value of standing forests relative to cleared land, as a significant step in the fight against climate change. The programme, which was unveiled in Belém ahead of COP30, intends to provide cash incentives linked to confirmed conservation outcomes in order to incentivise nations that successfully stop deforestation. The facility, which could receive up to $4 billion a year from 74 tropical countries, aims to balance environmental conservation with economic opportunity, making forest protection a crucial component of global climate action and sustainable development for ecosystems and communities everywhere.

The planet’s lungs, tropical forests, are vanishing at a rate that jeopardises the equilibrium of the global climate. In a bold move to change this, Brazil launched a significant project at Belém, the entrance to the Amazon, aimed at protecting global forests and enhancing climate resilience. Participating countries will get $4 per acre annually under the programme, which is based on confirmed conservation results monitored by satellite. The goal of this performance-based model is to reinterpret the economic worth of forests by acknowledging their contribution to biodiversity preservation, carbon absorption, and indigenous livelihoods.

Tropical forests “breathe life into our planet” and are crucial for maintaining a stable global climate, according to UN Secretary-General António Guterres, who praised the initiative as “a statement of solidarity and hope”. Luiz Inácio Lula da Silva, the president of Brazil, has promised the fund an initial $1 billion. Crucially, local and indigenous communities—the first line of defence for forest ecosystems—will directly benefit from 20% of the cash each nation receives.

Brazil’s commitment to inclusive climate finance was highlighted by COP30 Executive Director Ana Toni, who stated, “This is not just about conserving trees; it’s about empowering the people who protect them.” The fund was conceived during COP28 in Dubai in 2023, and its initial signatories presently include Ghana, Indonesia, Malaysia, Colombia, and the Democratic Republic of the Congo. It is anticipated that investor nations, including the United Kingdom, France, Germany, Norway, and the United Arab Emirates, will combine public and private funds under a shared investment framework. According to Brazil, the facility may unlock almost $4 billion annually, greatly increasing the amount of money available for forest protection. Governments and private investors may eventually contribute more than $100 billion, filling a significant funding shortfall.

The UN Environment Programme (UNEP) estimates that by 2030, worldwide forest conservation activities will need $300 billion in yearly funding, which is significantly more than the $84 billion raised in 2023. The Tropical Forests Forever Facility is a daring rethinking of global climate action by tying financial incentives to confirmed forest protection. For the countries and people who are preserving forests, it provides an equitable, dependable, and inclusive strategy for allocating resources where they are most needed.

Tropical forests, as representations of resilience, biodiversity, and collective responsibility for the planet’s future, are poised to take centre stage in global climate negotiations during COP30, which takes place in Belém from November 21.