5 things to know about the Tropical Forest Forever Facility

The Tropical Forest Forever Facility (TFFF) is a Brazilian-led initiative designed as an investment fund to provide financial incentives for tropical forest nations to protect their forest cover. By pooling public and private capital—with a target of $125 billion—the fund intends to generate annual payments of up to $4 billion, distributed at a rate of $4 per hectare of standing forest. While the TFFF aims to support Indigenous Peoples and local communities with a proposed 20% allocation of national payments, Global Witness emphasizes the need for direct fund access, legal land tenure, and stricter financial regulations to prevent private capital from continuing to fund deforestation.

• The TFFF is designed as an investment fund that blends traditional development funding with market-based returns, aiming for an initial pot of $125 billion, consisting of approximately $100 billion from the private sector and the rest from philanthropic sources and national governments.
• The fund intends to distribute up to $4 billion annually to tropical forest nations, with payments calculated at $4 per hectare of standing forest. Countries with stable or slowing deforestation rates under 0.5% of forest canopy qualify, while those experiencing deforestation face penalties through lower payments.
• The TFFF's investment strategy focuses on Emerging Markets and Developing Economy bonds, specifically favoring sustainable or 'green' bonds, and explicitly excludes investments in coal, peat, oil, gas, and companies causing significant deforestation.
• Under the current design, Indigenous Peoples and local communities are slated to receive at least 20% of the payments awarded to tropical forest countries, though there are demands for direct access to funds and a greater role in decision-making to avoid government-led disbursement risks.

APA

Global Witness (2025). 5 things to know about the Tropical Forest Forever Facility. https://globalwitness.org/en/campaigns/forests/5-things-to-know-about-the-tropical-forest-forever-facility/

Chicago

Global Witness. 5 things to know about the Tropical Forest Forever Facility. 2025. https://globalwitness.org/en/campaigns/forests/5-things-to-know-about-the-tropical-forest-forever-facility/.

Wikipedia

{{cite report |author=Global Witness |title=5 things to know about the Tropical Forest Forever Facility |date=29 May 2025 |url=https://globalwitness.org/en/campaigns/forests/5-things-to-know-about-the-tropical-forest-forever-facility/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{globalwitness2025things, author = {{Global Witness}}, title = {{5 things to know about the Tropical Forest Forever Facility}}, institution = {Global Witness}, year = {2025}, month = may, url = {https://globalwitness.org/en/campaigns/forests/5-things-to-know-about-the-tropical-forest-forever-facility/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }