Restoration Arch

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There is an urgent need to reduce the increase in Earth's temperature. The most efficient and inexpensive technology for this mission, mastered by Brazil, is forest restoration, which removes millions of tons of CO2 from the atmosphere. The reconstruction of forest cover in the so-called "Arc of Deforestation," a region heavily deforested in the Brazilian Amazon throughout the 20th century, was announced as a strategic mission of the BNDES (Brazilian Development Bank) in 2024, aiming to transform it into the "Arc of Restoration." To achieve this major goal, the BNDES, as part of a national effort, is already mobilizing resources to restore 24 million hectares of forests by 2050, which will require approximately R$ 150 billion.

24 million hectares by 2050: ambition with a path and funding.

Methodology

The Restoration Arc mobilizes resources from BNDES through the Amazon Fund (non-reimbursable) and the Climate Fund (credit), in addition to resources from third parties, such as companies and governments. With resources from the Amazon Fund, three managing partners were selected in a public call for proposals to manage ecological restoration projects with an average value of R$ 5 million in three macro-regions within the Arc, an initiative called Restaura Amazônia. In addition to managing the projects, these institutions are responsible for launching calls for proposals to select the non-profit organizations that will implement them. The Climate Fund offers long-term incentivized loans for restoration projects that generate jobs in the region and capture carbon.

Credit line from the Climate Fund to restore forests and generate employment in the Amazon.

Results

Nine calls for proposals have already been launched under the Restaura Amazônia program, totaling R$400 million, and financing totaling R$515 million in credit from the Climate Fund has been approved, mobilizing R$1.5 billion in investments, with the difference coming from corporate resources. In 2025, three more calls for proposals under the Restaura Amazônia program are expected to be launched, along with further approvals for new Climate Fund credit operations.

R$ 515 million approved by the Climate Fund.

Supporting Material

Ícone link externo Amazon Restoration Arc
Forest
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