Why Brazil’s Policies Support Forest Restoration and Lay the Foundation for Leadership at COP30

Author: Josh McBee

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Forest restoration is a priority in Brazil’s diplomatic, economic, and environmental strategies, as it is seen as a crucial part of Brazil’s broader strategy to build political support for and investment in a strong and resilient rural economy. By combining policies that encourage restoration with efforts to increase funding for restoration and leadership on the international level, Brazil is setting the stage for the country to lead on the global stage as it hosts COP30 in November.

Thanks to its policy environment, Brazil is poised to lead the way for other countries acting on forest restoration. A comprehensive set of laws and commitments promote forest restoration in the country, stretching back nearly a century to Brazil’s Forest Code of 1934 (most recently updated in 2012). The laws provide a foundation that Brazil can continue to build upon. Brazil’s new international climate target, known as its Nationally Determined Contribution (NDC), aims to reduce emissions between 59 percent and 67 percent under 2005 levels by 2035 and emphasizes the importance of forest restoration for meeting its new target.

Restoring Agricultural Land With and Without Forests 

Restoring agricultural land, in particular, is a major priority for Brazil. The country’s Sectoral Plan for Mitigation and Adaptation to Climate Change for the Consolidation of a Low-Carbon Economy in Agriculture — otherwise known as its “ABC Plan” — was approved in 2011 with the goal of recovering 15 Mha of degraded pastures by 2020. By 2018, the ABC Plan’s goal was surpassed: Brazil’s Ministry of Agriculture and Livestock estimates that 26.8 Mha of degraded pastures were recovered. Brazil has extended the program (now the ABC+ Plan) until 2030, making up a core part of Brazil’s strategy to achieve its NDC and reaffirm its commitment to support forest restoration efforts on agricultural land.   

Restoration of agricultural land for cattle ranching or crops is just part of the story. Brazil’s agricultural yield grew 55% between 2000 and 2025, and further gains are expected. This frees up low-productivity pastureland for restoration without compromising food security — enabling climate mitigation alongside economic growth. Currently, 20% of Brazil’s pastureland is degraded and another 40% is at risk. This means nearly 60 million hectares of just pastureland in Brazil is subpar and could be well fit for forest restoration. 

Investment Hub for Forest Restoration

Recognizing the potential of restoration to meet the country’s climate goals, Brazil is creating an investment hub for forest restoration. The government was instrumental in launching the Brazil Restoration & Bioeconomy Finance Coalition to mobilize at least USD 10 billion for conservation and forest restoration by 2030. Expanding upon collaboration with international groups, Brazil’s National Bank for Economic and Social Development (BNDES) signed an agreement with the Inter-American Development Bank (IDB) in January 2025 to facilitate public-private partnerships that manage and restore public forests in the Amazon. The government’s interest expands the potential economic benefits that forest restoration could generate. If Brazil reaches its goal of restoring 12 Mha of forests by 2030, Instituto Escolhas estimates, the country would generate USD 134.7 million in net revenue and create 2.5 million jobs.  

President Luiz Inácio Lula da Silva’s recent reinvigoration of the concept of a “Tropical Forests Forever Facility” that would reward countries for conserving or restoring forests complement these efforts. As its host, COP30 provides Brazil a strong platform to build global support. Brazil’s Minister of Finance, Fernando Haddad, and Environment Minister, Marina Silva, a seasoned advocate for forest protection, are leading the development of the TFFF, with the backing of key financial institutions. Major donors, including the UK, France, and the UAE, have expressed interest, increasing the likelihood of success. 

Opportunity at COP and Beyond for Brazilian Forest Restoration

On the international stage, Brazil is poised to use its prominent role as the host of multiple major diplomatic summits to highlight the importance of forest restoration, raising ambition both at home and globally. Brazil served as the G20 President in 2024 and will host COP30 — the world’s annual climate conference — in 2025, which ensures that nature and forest restoration will be high on the summit’s agenda. In 2026, Brazil will chair the influential BRICS coalition and have significant influence with China and other nations to support global reforestation efforts. 

While Brazil will indeed face significant challenges in aligning its forest restoration ambitions with on-the-ground realities, policy levers will continue to serve as powerful tools to realize its goals. By continuing to strengthen and enforce its legal frameworks, invest in innovative financial mechanisms, and ensure governance that includes the role of local and Indigenous communities, Brazil has the potential unlock the full potential of its restoration economy. In doing so, it would advance its climate and biodiversity goals, foster sustainable agricultural development, create jobs, and lead internationally. 

Learn more about Brazil’s forest restoration opportunity with Orbitas’ latest report: Room to Grow: The Economic Case for Forest Restoration in Brazil