Germany frustrates government and does not say value of investment in forestry fund

Expectations were high. Members of the Brazilian government analyzed yesterday’s announcements positively and at the end of the day stated that members of the German delegation were promising “substantial amounts”.

Norway announced a billion-dollar contribution. The Scandinavian country has promised to invest US$3 billion in the new fund over the next ten years. France promised 500 million euros (3.1 billion reais), while Portugal and the Netherlands committed to more modest amounts (1 million euros and US$5 million, respectively).

Brazil and Indonesia were the first to promise contributions. Before the summit in Belém, the two countries – which will also be among the main beneficiaries of the new fund – announced their intention to invest US$1 billion each in the TFFF.

Fund for forests, the government’s bet

The TFFF is the government’s main bet for COP30. Unlike other donation-based mechanisms, the TFFF works like an investment: profits return to investors, and the surplus goes to countries that preserve their areas.

Initially, around US$4 per year will be paid for each hectare of native forest standing. With results monitored via satellite, there will be a discount on remuneration in cases of deforestation.