The Tropical Forest Forever Facility (TFFF) is unlikely to make payments to rainforest countries until at least 2028 while it raises funds in financial markets.
Launched at COP30, the TFFF aims to pay rainforest countries for achieving low deforestation rates. However, raising the US$125 billion worth of investment necessary could take years, according to Andrew Deutz, managing director of global policy and partnerships at WWF, one of the organisations involved in the fund’s design. According to Deutz, the delay has some benefits as it will give communities time to build capabilities and legal structures to handle the new flow of funds. “There needs to be a capacity-building process over the next couple of years with Indigenous organisations and local communities to be able to manage the flow of funds at that level,” he added. Deutz said it will likely take two or three years for the fund to raise private capital by issuing bonds, invest the money and generate enough returns to make significant payments.