What is the Amazon Relief Fund?

Amazon Fund is a targeted fundraising initiative that is aimed at preserving and sustainably using the resources of the Amazon rainforest. Also known as the Amazon Fund for Forest Conservation and Climate Protection, this mechanism is formulated to raise donations to combat, monitor, and prevent deforestation in the Amazon rainforest.

Governments from around the world have pledged their support to the Amazon Fund after realizing the importance of the Amazon rainforest. We have shared more information about the Amazon Relief Fund, its history, and its significance here.

Amazon Fund - Overview

Amazon Relief Fund was set up in 2009 to incentivize Brazil and other developing countries with tropical rainforests to reduce greenhouse gas emissions and forest degradation. The first pledge was given by the Government of Norway, which donated USD 1 Billion. Over the years, the Amazon Fund has received much acclaim.

To date, the Amazon Fund has supported 102 projects and has received around USD 693 Million in support. We have shared about the Fund, its management, and its purpose in the overview shared below.

Amazon Relief Fund - History

The history of the Amazon Fund can be traced to 2008 when it was first proposed during a global Climate Change Conference. Realizing the diminishing forest cover of the Amazon rainforest, the global nations pledged support to Brazil to preserve the Amazon rainforest, which is home to thousands of flora and fauna.

Here is more information about the history of the Amazon Fund -

• The Fund was proposed by the delegation of Brazil to the 12th Conference of the Parties of the United Nations Framework Convention on Climate Change (UNFCCC) in Nairobi, Kenya, in 2008.
• Amazon Relief Fund is a REDD+ mechanism, the UNFCCC's framework for "Reducing emissions from deforestation and forest degradation and the role of conservation, sustainable management of forests and enhancement of forest carbon stocks in developing countries".
• In 2008, the then President of Brazil, Luiz Incio Lula da Silva, announced the Fund and Brazil's commitment to reduce deforestation in the Brazilian Amazon by 80% over the next 10 years. The Fund became operational on 1st March 2009.

Purpose of the Amazon Fund

Amazon Fund collects donations towards non-reimbursable investments for preventing, monitoring, and fighting deforestation and promoting the conservation of forests in the Amazon biome. Many projects have been introduced under the Amazon Relief Fund, some of which are categorised as follows:

1. Management of public forests and protected areas.
2. Environmental control, monitoring, and inspection.
3. Sustainable forest management.
4. Economic activities from the sustainable use of forests.
5. Economic and ecological zoning, territorial planning and land-title regularisation.
6. Conservation and sustainable use of biodiversity.
7. Recovery of deforested areas.

Subsequently, the focus of the Amazon Relief Fund extended to the prevention of forest fires and developing forest monitoring and control systems in Brazil and other tropical countries.

Management of the Amazon Fund

• The Brazilian Development Bank (BNDES) manages the Amazon Fund. The Bank is the permanent trustee of the Fund, and it raises and invests funds, monitors projects, renders accounts, and communicates the results obtained.
• The Guidance Committee (COFA) establishes guidelines and monitors their results.
• The Technical Committee (CTFA) is responsible for certifying calculations regarding effective reductions of carbon emissions from deforestation made by the Ministry of Environment.
• The National REDD+ Committee (CONAREDD+), established in 2015 by the announcement of Brazil's National Strategy for REDD+ (ENREDD+), coordinates and monitors the establishment of ENREDD+.

Amazon Relief Fund - Significance

Amazon Fund is a mechanism vital to protecting and promoting Amazon's rich heritage. The Amazon Forest is the largest rainforest and is home to rich biodiversity. However, owing to indiscriminate cattle ranching, agricultural activity and forest fires, it has seen large-scale deforestation.

Also referred to as the "lungs of the world", the Amazon needs to be preserved to safeguard the global ecosystem. Here are some reasons why the Amazon Relief Fund is so significant -

• It is a dedicated fundraising program that unites the world in caring for Climate Change.
• It is meant for the conservation of the thousands of unique flora and fauna found in the Amazon rainforest.
• Amazon Fund raises awareness about the importance of the Brazilian Amazon forest and advocates for its conservation.

FAQs on Amazon Fund

Q.1. What is the Amazon Fund?

Amazon Fund is a targeted donation-raising campaign aimed at preserving and sustainably using the resources of the Amazon rainforest. Nations from around the world donate to this campaign. Amazon Relief Fund is also known as the Amazon Fund for Forest Conservation and Climate Protection.

Q.2. What is the objective of the Amazon Fund?

Amazon Fund provides for the collection of donations towards non-reimbursable investments for preventing, monitoring, and fighting deforestation and promoting the conservation of forests in the Amazon, Brazil. This fund is used to maintain and preserve the Amazon rainforest.

Q.3. How many projects have been supported by the Amazon Fund?

The Amazon Fund has supported 102 projects so far, including municipal projects, state projects, federal government projects, third-sector projects, university projects and international projects. Countries from around the world have contributed to the Amazon Fund to preserve the Amazon rainforests.

Q.4. Who are the contributors to the Amazon Fund?

Donations to the Amazon Fund have been contributed by the Government of Norway, the Federal Republic of Germany, and Petrobras (a state-owned Brazilian oil and gas corporation). Besides this, many other nations contribute generously to the Amazon Fund.