The Tropical Forest Conservation programme was officially launched at the COP30 leaders' summit in Belém, attended by more than thirty heads of state – both tropical forest countries and so-called sponsor countries – as well as the UN Secretary-General
At an event hosted by Brazilian President Luiz Inácio Lula da Silva, the founding declaration of the Tropical Forest Conservation Fund (The Tropical Forest Forever Facility) was made public, already backed by 53 countries, including 19 potential investors. The Tropical Forest Conservation Fund (hereafter TFFF) has been pledged more than 5.5 billion US dollars, a significant turning point that may well mark the beginning of a “new era” in global cooperation between public and private investors, advancing forest conservation strategies and strengthening partnerships worldwide to protect tropical ecosystems.
Norway pledged 3 billion US dollars over the next ten years, subject to specific conditions; Brazil and Indonesia reaffirmed their commitment of 1 billion US dollars; France indicated that, subject to specific conditions, it would consider providing 500 million euros by 2030; the Netherlands pledged 5 million US dollars to the fund's secretariat; and Germany gave the TFFF its full backing, announcing that Brazilian President Lula da Silva and German Chancellor Merz would yet discuss the financial commitments. In total, the TFFF declaration was supported by 34 tropical forest countries covering more than 90% of tropical forests, among them Indonesia, the Democratic Republic of the Congo and China.
The Tropical Forest Conservation programme is a historic paradigm shift in global efforts to protect and restore tropical forests, because such a mechanism will be able to address market failures and to recognise – and pay for – the value of the ecosystem services tropical forests provide. The TFFF creates an unprecedented global financial incentive to protect standing tropical forests rather than destroy them.
Opening the event, Brazilian President Lula da Silva said: “The Tropical Forest Conservation Fund we are creating today is an unprecedented initiative. For the first time in history, countries of the Global South will take the lead on forest protection. ... The Tropical Forest Conservation Fund will be one of the main concrete results delivered by COP30. It is symbolic that we are celebrating the fund's creation in Belém, surrounded by sumaúmas, açaí palms, andirobas and jacarandás. Within just a few years we will begin to see the fruits of the fund's work, and we will remember with pride that it was in the heart of the Amazon rainforest that we took this step together”.
Brazil's Minister of the Environment and Climate Change, Marina Silva, said: “The creation of the TFFF at COP30 is a turning point in the history of tropical forest conservation. For the first time we have a global mechanism that recognises the value of forest ecosystem services and offers lasting incentives to conserve them. This is a shared achievement that places Brazil at the centre of developing sustainable climate solutions.”
Brazil's Finance Minister, Fernando Haddad, added: “This is a historic day for the world. Just two years after we first put this idea forward, dozens of countries have come together to support the TFFF. This unprecedented innovation in the international financial architecture will combine sovereign and private capital in a strong, long-term mechanism to mobilise, at last, substantial financial resources for tropical forest conservation worldwide. Brazil is proud to lead this transformative initiative, which brings together climate goals and international cooperation.”
Brazil's Foreign Minister, Mauro Vieira, stressed: “The TFFF reflects Brazil's diplomatic vision, grounded in the conviction that the countries of the tropical region know best how to conserve their own forests. It gives them a stable, large-scale source of resources with which to sustain long-term environmental policy. Other features of this initiative include allocating at least 20% of resources to indigenous peoples and local communities, and a governance structure in which forest countries and sponsor countries take part on equal terms. It is no coincidence that the first two countries to confirm investments in the fund are developing countries. At the same time, the TFFF puts into practice an idea long championed by developed countries – large-scale private sector involvement. Its hybrid financial architecture combines public and private capital in a ratio of 1 to 4. Taken as a whole, the TFFF shows that multilateralism can renew itself by innovating and delivering concrete results in response to today's global challenges.
Brazil's Minister of Indigenous Peoples, Sônia Guajajara: “The TFFF boldly and fairly recognises the essential role of indigenous peoples and traditional communities in protecting forests. Ensuring that at least 20% of resources go directly to these guardians of the forest is a historic achievement and a decisive step towards justice and the recognition of ancestral knowledge.”
Norway's Prime Minister, Jonas Gahr Støre: “Halting deforestation is vital if we are to reduce the impact of climate change and curb the loss of biodiversity. If we want to save the world's tropical forests, there is no time to lose. The Tropical Forest Conservation Fund can provide stable, long-term financing to the countries concerned. Supporting this initiative matters to Norway”.
The launch of the Tropical Forest Conservation Fund programme in Belém during COP30 underlines the urgent need for collective action to tackle climate change, protect biodiversity and promote sustainable development in tropical forest countries, while recognising the important place of indigenous peoples and local communities.
The World Bank has already been confirmed as the trustee and interim manager of the Tropical Forest Conservation Fund. The next steps include setting up the Tropical Forests Investment Fund (TFIF) under national jurisdiction, paving the way for the fund to begin operating. COP30 marks the start of raising capital for the TFFF. Dialogue with potential investors, both public and private, will continue in pursuit of the medium-term goal of building a 125 billion dollar fund, combining 25 billion dollars of sponsor capital from independent sources with 100 billion dollars from institutional investors.
UNEP* estimates indicate that protecting and restoring forests will require more than 66.7 billion US dollars a year; the TFFF will complement existing forest financing instruments and fill a significant gap in environmental finance by rewarding the maintenance and restoration of forest cover.
The key innovative elements of the Tropical Forest Conservation Fund programme:
1. The TFFF has the potential to support the protection of tropical forests in more than 70 developing countries across more than 1 billion hectares.
2. Payments to countries will be made on the basis of satellite data that track forest canopy cover annually, using a low-cost approach and a transparent methodology.
3. The development of the TFFF was led by Brazil in cooperation with the Democratic Republic of the Congo, Ghana, Malaysia, Indonesia, Colombia, the United Kingdom, Germany, Norway, France and the United Arab Emirates, and also drew on input from indigenous peoples and local communities.
4. The TFFF will be established using funding from independent sponsors, governments, philanthropic organisations, family offices and private sector investors.