Lula Launches 'Tropical Forests Forever' Fund to Pay Countries to Protect the Amazon

Lula unveils 'Tropical Forests Forever' fund at COP30 in Belém

BELEM, Brazil — Brazilian President Luiz Inácio Lula da Silva on Tuesday outlined a new approach to protecting tropical forests, proposing a large, permanent trust that would pay countries to keep forests standing rather than relying on sporadic donations from wealthy nations or charities.

"I don't want to say the word donation any longer," Lula told reporters ahead of the United Nations climate summit, COP30, in Belém. He added: "Someone gives us $50 million. It is nice, but that's nothing. We need billions to deal with our problems, problems of people who are living there."

At COP30, Lula is expected to formally launch the Tropical Forests Forever Fund (TFFF), an initiative designed to support more than 70 developing countries that commit to preserving their tropical forests. Early participants include Colombia, Ghana, the Democratic Republic of Congo, Indonesia and Malaysia. Several European and Gulf governments — Germany, the United Arab Emirates, France, Norway and the United Kingdom — are helping design the mechanism and are likely to be initial public backers.

According to the official COP30 description, the TFFF would operate as a permanent trust fund intended to leverage private sector finance at roughly a 4-to-1 ratio for each public or philanthropic dollar. The exact mechanics and governance details were not spelled out at the time of the announcement. Potential revenue streams for the fund could include payments for ecosystem services, tourism, sustainable supply-chain premiums and carbon-offset markets, where companies pay to offset emissions by protecting or restoring forests.

Lula noted Brazil has already committed about $1 billion and said the fund would generate returns for investors while delivering conservation outcomes. "It is a win-win fund," he said, urging more countries to join once the presentation is complete.

Petrobras drilling approval sparks controversy

Separately, Lula defended his government's recent approval of exploratory drilling by state-run oil company Petrobras near the mouth of the Amazon River. The Equatorial Margin deposit off Brazil's northern coast — stretching from the border with Suriname toward part of the country's Northeast — is believed to contain significant oil and gas resources. The exploratory block sits roughly 175 kilometers (108 miles) offshore the northern state of Amapá.

Environmentalists and some scientists have warned the area supports little-studied mangroves and a coral reef, and that any spill could be widely dispersed by tides, threatening fragile coastal ecosystems and communities. Petrobras maintains it has not caused spills in its drilling operations and defends its safety record.

Lula framed the decision as part of a pragmatic balance. He emphasized Brazil's role as a major oil exporter and the fiscal importance of energy revenues while pointing to his administration's steps to curb deforestation and take a leading role in international climate talks. "I don't want to be an environmental leader. I never claimed to be," he said. "I want to do the right things that specialists, my administration and my conscience say we have to do. It would be incoherent, an irresponsible action, if I said we will no longer use oil."

Key facts:

• Tropical Forests Forever Fund aims to support 70+ developing countries and attract private investment.
• Brazil has pledged roughly $1 billion to kick-start the effort.
• COP30 organizers say the fund could leverage about $4 in private capital for every $1 of public or philanthropic funding, though operational details remain unclear.
• Critics warn that recent approval of offshore exploratory drilling near Amapá poses environmental risks to mangroves and reefs.

Source: Reporting based on Associated Press coverage.