As nations struggled during Climate Week (Sept 21-28) in New York City to increase their emission-reduction pledges to slow the alarming rate of global warming, Brazil stepped forward to support and showcase a novel, innovative plan of its own design to incentivize the protection of carbon-absorbing tropical forests around the world. Representatives from more than two dozen countries looked on at the United Nations on Tuesday, September 23, as Brazilian President Luiz Inácio Lula da Silva announced that his nation will invest the first $1 billion in the Tropical Forest Forever Facility (TFFF), a planned $125 billion fund that Lula and Brazilian finance experts first described in 2023. “TFFF is an unprecedented tool in this fight against climate change,” said Lula, emphasizing that Brazil is leading by example. “Tropical forests are critical to keeping alive the [goal] of limiting global warming to 1.5° [Fahrenheit above pre-industrial levels]. The TFFF is not a charity; it’s an investment in humanity and the planet to counter the threat of climate chaos.” The fund — in which $25 billion is to come initially from sovereign nations, with $100 billion coming later from private investors — is expected to be a centerpiece of the 30th UN climate summit (COP30) in Belém, Brazil from Nov. 10-21. Described as a climate-action fund like no other, TFFF will work in ways similar to how banks operate as lenders. Instead of donations, the billions committed will be invested in capital markets with investors receiving an estimated annual return of…This article was originally published on Mongabay

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