Germany Pledges Support for New Tropical Forest Conservation Fund
Ahead of the COP30 climate conference in Brazil, Germany has committed to financially supporting the ”Tropical Forest Forever Facility,” a new initiative designed to incentivize forest conservation in developing nations.Chancellor friedrich Merz announced the pledge during international talks held near the Amazon rainforest, though the specific amount of Germany’s contribution remains undisclosed, described only as “considerable.”
The fund, spearheaded by Brazil, Indonesia, and norway, has already garnered $5.5 billion (€4.7 billion) in pledges. it aims to leverage these initial investments into a total of $125 billion (€108 billion) to compensate 74 developing countries for preserving their forests. The mechanism will utilize interest-bearing debt, generating returns to repay creditors while rewarding nations for avoiding deforestation.
the initiative seeks to make forest preservation economically favorable, offering a viable option to destructive practices like industrial farming and mining. A key component of the fund’s structure mandates that 20% of received compensation be allocated to Indigenous communities, recognizing their ancient role in forest management and conservation.
“With that,we can overcome goverment policy fluctuations and secure a structure,an autonomous governance to support tropical forests,” stated Brazil’s Indigenous peoples minister,Sonia Guajajara.
Interest from other nations is growing, with representatives from China and the United Arab Emirates engaging in discussions about the fund. China’s Vice Premier Ding Xuexiang affirmed the country’s willingness to “strengthen cooperation” on rainforest conservation. Though, the absence of commitments from some supportive nations, such as the United Kingdom, highlights the budgetary and political challenges facing governments worldwide.
Alongside the forest fund, Germany is also participating in a coalition with Brazil and the european Union to unify global carbon markets.This effort aims to establish a basic framework for integrating existing carbon pricing systems, rather then attempting to create a single, universal market. The EU views carbon pricing as a crucial tool in combating climate change, with European Commission President Ursula von der Leyen emphasizing the importance of collaborative action.
(Source: AP)
