Can this billion-dollar initiative save the world’s tropical forests?

(Credit: Unsplash)

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum.

Author: Natalie Marchant, Writer, Formative Content


  • A new public-private initiative will provide $1 billion in financing to countries that protect their tropical forests.
  • The US, UK and Norwegian governments have teamed up with global businesses such as Amazon, GSK and Nestlé in an attempt to end deforestation.
  • Destruction of primary rainforests increased by 12% from 2019 to 2020, with the world losing over 4.2 million hectares of forest cover last year.
  • The LEAF Coalition will also benefit billions of people who depend on tropical forests for their livelihoods.

Governments and global companies have joined forces as part of the appropriately-named LEAF Coalition to mobilize $1 billion in financing to protect the world’s tropical forests.

The Lowering Emissions by Accelerating Forest finance (LEAF) Coalition is an ambitious public-private initiative that aims to hasten climate action by providing results-based finance to countries that protect their tropical and subtropical forests.

It will see the governments of Norway, the UK and the US work with businesses including Amazon, Airbnb, Bayer, Boston Consulting Group, GSK, McKinsey, Nestlé, Salesforce and Unilever to support high-quality emissions reductions in an attempt to bring an end to deforestation.

The initiative will also benefit billions of people who depend on tropical forests, while supporting sustainable development.

Tropical forests vital to achieving 1.5°C target

Tropical forests absorb carbon from the atmosphere, so ending their deforestation is key for meeting global climate, biodiversity and sustainable development goals.

However, such forests are under threat with destruction of primary rainforests having increased by 12% from 2019 to 2020, and the world losing more than 4.2 million hectares of tropical forest cover last year alone. Their protection could provide nearly a quarter of cost-effective mitigation by 2030.

“There is no path to limit global warming to 1.5°C and meet the Paris Agreement without stopping tropical deforestation by 2030,” said Forum Founder and Executive Chairman Klaus Schwab.

“The LEAF Coalition is a big step forward to provide real economic incentives for high ambition countries to protect and restore their forests.”

How the LEAF Coalition works
The Lowering Emissions by Accelerating Forest finance (LEAF) Coalition is working with a number of governments and large companies. Image: LEAF

How it works

The LEAF Coalition empowers tropical and subtropical countries to accelerate efforts to end deforestation, while supporting them in achieving nationally determined contributions (NDCs) under the Paris Agreement.

Once a country or jurisdiction reduces deforestation and forest degradation, or restores forests, the emission reductions are verified and issued according to the ART/TREES standard.

Payments are then made according to fund management best practice, enabling countries to set a course for sustainable economic development that conserves and restores forests, while supporting local communities and livelihoods.

US non-profit Emergent will act as LEAF’s administrative coordinator and also provide a platform to facilitate transactions. The final list of countries and companies participating in the scheme will be announced when emissions reduction purchase agreements are signed with tropical forest nations by the end of 2021.

Local participation vital

Ensuring the full participation of local communities, indigenous people and other relevant stakeholders will be key to LEAF’s success.

Guyana Vice President Bharrat Jagdeo welcomed the initiative, saying it would enable forest countries to create new opportunities.

But he added: “If this new economy is to be more attractive than the old economy, LEAF must also catalyze funds that flow quickly and efficiently. The systems to enable this can only be successful if forest countries are involved in their design – and we stand ready to work with the LEAF Coalition to achieve the innovation required.”

Amazon CEO and Co-Founder Jeff Bezos is hopeful that, “in uniting behind a common cause, the countries and companies of the coalition have a chance to end deforestation by 2030.”

What’s the World Economic Forum doing about deforestation?

Halting deforestation is essential to avoiding the worst effects of global climate change.

The destruction of forests creates almost as much greenhouse gas emissions as global road travel, and yet it continues at an alarming rate.

In 2012, we brought together more than 150 partners working in Latin America, West Africa, Central Africa and South-East Asia – to establish the Tropical Forest Alliance 2020: a global public-private partnership to facilitate investment in systemic change.

The Alliance, made up of businesses, governments, civil society, indigenous people, communities and international organizations, helps producers, traders and buyers of commodities often blamed for causing deforestation to achieve deforestation-free supply chains.

The Commodities and Forests Agenda 2020, summarizes the areas in which the most urgent action is needed to eliminate deforestation from global agricultural supply chains.

The Tropical Forest Alliance 2020is gaining ground on tackling deforestation linked to the production of four commodities: palm oil, beef, soy, and pulp and paper.

Get in touch to join our mission to halt to deforestation.

Nature-based solutions

The UN Environmental Programme (UNEP) is currently putting together a State of Finance for Nature report, due for publication later this year, to demonstrate how investing in nature-based solutions can address environmental crises and wider societal challenges.

Meanwhile, the World Economic Forum is gearing up for COP26 by hosting a series of live-streamed discussions on 27 May focusing on steel, shipping, hydrogen and climate breakthroughs to achieve net zero in time.

the sting Milestones

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

How global trade can save lives and livelihoods – and help protect the planet

From philanthropy to profit: how clean energy is kickstarting sustainable development in East Africa

Would you want to live to 150? Top quotes on what it means to grow old

Saudi Arabia: UN experts push for prompt release of women human rights defenders

EU ready to relinquish its internal tax havens

The megatrend that will shape our working future

Why people with disabilities are your company’s untapped resource

Time to say goodbye to the plastic straw. But what’s the best alternative?

Can Obama attract Iran close to the US sphere of influence?

How COVID-19 is helping Oman develop a future-ready workforce

Africa-Europe Alliance: EU boosts pan-African Internet connectivity with €30 million

This US city put an algorithm in charge of its school bus routes and saved $5 million

Why the financial scandals multiply?

Heading back to the cinema, theatre or a concert? Here are 3 ways the arts are adapting to COVID-19

Russia – US in Syria: Selling Afrin to Turkey but facing off ruthlessly for Ghouta

‘A trusted voice’ for social justice: Guterres celebrates 100 years of the International Labour Organization

Europe slammed by Turkey’s shaky Erdoğan; both playing with immigrants’ agony

America writes-off Iran, blocks Europe’s Tehran talks

Amazon indigenous groups want to create a nature sanctuary the size of Mexico

4 steps towards wiping out cervical cancer

Stepped-up efforts needed to combat pneumonia; save nearly nine million children’s lives

Built by a woman: supporting the dreams of mum entrepreneurs

Sustainable Development Goals: making the world a better place

European Accessibility Act: Parliament and Council negotiators strike a deal

Inclusion, empowerment and equality, must be ‘at the heart of our efforts’ to ensure sustainable development, says UN chief

Libya: €2 million in humanitarian assistance to cover basic needs

Ditching plastic straws isn’t enough. Here’s how to achieve zero waste.

Commission Work Programme 2019: Delivering on promises and preparing for the future

COVID-19: A coordinated EU health strategy needed, say MEPs

Turkey: Commission continues humanitarian support for refugees

Do we need a new Marshall Plan to rebuild Europe after COVID-19?

European Youth Forum demands immediate action & binding agreement on climate change

FROM THE FIELD: Conversations about Conservation

Monday’s Daily Brief: UN chief talks climate action at G7, WFP official visits camp in Central African Republic, Deadly violence at Lesvos migrant centre, Security Council meets on AU-UN Darfur mission

Alice in Colombia

Will the Greek economy ever come back to growth?

ECB’s €1.14 trillion again unifies Eurozone; Germany approves sovereign debt risks to be pooled

Alcoholic drinks: Commission tables update of rules governing alcohol excise duties

Vaccination campaigns are wars against fake news

“ASEM: Global Partners for Global Challenges”, a Sting Exclusive by China’s Ambassador to the EU

This is what’s happening to the Amazon, according to NASA

3 reasons why data is not the new oil – and why this matters to India

World’s Press Calls on the United Kingdom to Address Press Freedom Concerns

Britain in and out of the EU

State aid: Commission approves €2.9 billion public support by twelve Member States for a second pan-European research and innovation project along the entire battery value chain

Dangerous Trumpism in the Middle East with an anti-European edge

First seat projections for the next European Parliament

European Business Summit 15th year: Controversy and Constructive Ideas

3 cognitive biases perpetuating racism at work – and how to overcome them

President Michel’s MFF proposal not acceptable for Parliament

Why Sweden’s cashless society is no longer a utopia

Brexit: reciprocal visa-free access for EU and UK nationals

China-EU Trade and Economic Relations in Numbers

Britain declares trade war on mainland Europe

How governments can redesign support for entrepreneurs after COVID-19

Ozone on track to heal completely in our lifetime, UN environment agency declares on World Day.

5 milestones in green energy

Mergers: Commission prohibits proposed merger between Tata Steel and ThyssenKrupp

After swallowing effortlessly the right to be forgotten time for Google Ads now to behave

New Zealand can improve well-being through better policymaking and reforms to housing and migration policy

More Stings?

Trackbacks

  1. […] Can this billion-dollar initiative save the world’s tropical forests?  The European Sting […]

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s