BNDES, Environment Ministry Pledge $42M From Amazon Fund to Boost Sustainability

By Brasil Stock Guide – Brazil’s National Bank for Economic and Social Development (BNDES) and the Ministry of the Environment and Climate Change (MMA) announced Tuesday the approval of R$210 million ($42 million) from the Amazon Fund to finance sustainable development initiatives in the Amazon region. The announcement came during an event in Manaus marking the fund’s 17th anniversary, according to a statement from the BNDES.

The resources will be split between two major programs. The Prospera na Floresta project will receive R$60 million to support tourism, entrepreneurship and sustainable production in traditional communities, as well as environmental and territorial management plans for Indigenous lands. The União com Municípios program will receive R$150 million to strengthen environmental governance and reduce deforestation and forest fires in 70 priority municipalities across six states in the Legal Amazon.

“This is an initiative of President Lula’s government to strengthen environmental governance in priority municipalities, with a focus on prevention, monitoring, control and reduction of deforestation, as well as environmental and land regularization,” BNDES President Aloizio Mercadante said. He added that Prospera connects environmental conservation with local well-being by fostering bioeconomy, food security and community empowerment.

Environment Minister Marina Silva said the new funding was made possible by a 46% drop in Amazon deforestation in 2024 compared with 2022, citing satellite data from Brazil’s National Institute for Space Research. “The best indicator is the fact that the resources are reaching each one of you,” she told Indigenous and traditional community representatives attending the event.

The Amazon Fund, created in 2008, is managed by the BNDES under MMA coordination and finances projects that support forest conservation and sustainable use. It has backed 139 projects, benefiting more than 260,000 people in over 161 Indigenous territories, while attracting both domestic and international contributions.