Political Will Is Building

Brazil’s public and private sectors are aligning behind ambitious climate goals. Domestic Brazilian policies, such as the ABC+ Plan, aim to recover degraded pastures, while Brazil’s Nationally Determined Contribution (NDC) commits to a 59–67% emissions reduction by 2035, anchored by large-scale forest restoration.

Agricultural Productivity Is Rising

Brazil’s agricultural yields grew 55% between 2000 and 2025, and further gains are expected. This growth frees up low-productivity, degraded pastureland for forest restoration without compromising food security — enabling additional climate mitigation alongside economic growth..

Forest Restoration Is Becoming Profitable

Under a 2°C warming scenario, restoring degraded pastureland with forests can yield up to USD 7,000 per hectare. This increases to USD 21,000 per hectare in more ambitious 1.5°C scenarios. Restoration projects can offer internal rates of return of up to 169%, outpacing traditional cattle ranching returns by up to a factor of five.

Innovative Finance Is Emerging

Capital is increasingly flowing into Brazilian forest restoration and new opportunities are emerging. These include blended finance vehicles, voluntary carbon markets, green bonds, and investments in a growing biodiversity credit market. The Brazil Restoration & Bioeconomy Finance Coalition has committed USD 10 billion to restore 5 million hectares by 2030. Demand for sustainable wood and non-timber forest products from Brazil as part of the nation’s bioeconomy is growing. Leading corporations including Microsoft have already signed offtake agreements for nature-based carbon removals in Brazil through forest restoration, and corporations like Nestlè are funding reforestation and nature-based practices.