The move comes as COP30 begins, UN climate negotiations aim to put the protection of forests at the heart of global climate action.
Known as the Tropical Forests Forever Facility, this fund will reward countries that successfully end deforestation. Aiming to make forests worth more than cleared forests, this project could channel up to $4 billion a year to 74 countries.
Tropical forests are essential for climate stability
“Tropical forests breathe life into our planet. they remain subject to incessant attacks – treated as short-term profit and not long-term value,” the UN said. Secretary-General António Guterresemphasizing the urgency of the launch, which he considers “a declaration of solidarity and hope”.
Under the fund, countries that conserve their forests will receive $4 per hectare per year, adjusted based on performance verified by satellite monitoring.
In total, 74 countries are eligible, collectively home to more than 1 billion hectares of tropical and subtropical forests. Priority areas include the Amazon, the Atlantic Forest, the Congo Basin, the Mekong region and the island of Borneo in Southeast Asia.
“The Tropical Forest Forever Fund is a bold mechanism to make standing forests more valuable than cleared land – aligning conservation with opportunity and solidarity with shared prosperity,” Mr. Guterres said, adding that “tropical forests are vital for climate stability.”
“Together, we can ensure that rainforests will endure forever – as living pillars of climate stability, biodiversity, resilience and peace,” he stressed.
A fisherman navigates through a forest in northern Thailand.
Support local communities
During the high-level week of the United Nations General Assembly last September, Brazilian President Lula da Silva announced the first investment in the fund – $1 billion.
Talk to UN News Then, COP30 Executive Director Ana Toni confirmed that 20 percent of each country’s payments would go directly to local communities, reinforcing the focus on indigenous peoples and others who protect forests in their communities and beyond.
“This demonstrates the determination of the Brazilian government not only to keep forests standing, but also to reward those who protect them, with particular attention to indigenous peoples. »
Building an international coalition
The creation of the fund began COP28 in Dubai in 2023 and culminated with its official launch at COP30.
So far, five tropical forest countries have joined: Colombia, Ghana, Democratic Republic of Congo, Indonesia and Malaysia.
Potential investing countries include Germany, the United Arab Emirates, France, Norway and the United Kingdom, contributing to a blended investment mechanism where dividends are shared between investors and forest countries.
Mobilize billions for forests
Government investors are expected to contribute $25 billion over the next few years, leveraging more than $100 billion from private sources. Brazil estimates the fund could generate around $4 billion a year, nearly triple the concessional funding currently available for forest protection.
Yet global forest financing remains insufficient.
According to the United Nations Environment Program (UNEP), annual investment to increase from $84 billion in 2023 to $300 billion by 2030 and $498 billion by 2050which leaves an annual deficit of $216 billion.
Why it matters
By linking financial rewards to forest conservation, the Tropical Forests Forever Fund aims to transform global efforts to combat climate change and biodiversity loss.
The initiative also marks a shift towards fair, inclusive and predictable funding, ensuring that support reaches those who protect forests with their hands, hearts and heritage.
COP30 will run until November 21. The conference brings together leaders, negotiators and stakeholders from around the world to accelerate action on climate change, with a focus this year on tropical forests, finance and nature-based solutions.
Publicado anteriormente en Almouwatin.
