A $3 billion pledge from Norway has provided a powerful kickstart to Brazil’s ambitious plan to save the world’s tropical rainforests. The commitment, the largest of the day, brings total pledges for the “Tropical Forests Forever Facility” to $5.5 billion, raising hopes for President Luiz Inácio Lula da Silva’s climate leadership.
The fund, proposed by Lula at the Belem summit, is a novel mechanism to pay 74 developing countries to keep their forests intact. It’s a direct attempt to make preservation more profitable than the industries that drive deforestation.
The financing model, based on loans from wealthy nations and investors rather than aid, is designed to be sustainable and scalable. Germany’s Chancellor Friedrich Merz is also expected to pledge support, further bolstering the fund.
The summit’s location in the Amazon highlights the stakes. These forests absorb vast amounts of CO2, and their preservation is crucial for regulating the global climate. Brazil is arguing that this benefit is a richer reward for the world than any short-term profit from destruction.
The fund also includes a key provision allocating 20 percent of its money to Indigenous communities. This momentum is a bright spot in a summit otherwise marked by the absence of top polluters and stark warnings from the UN.