United Kingdom Announces R$500 Million Investment in Amazon Fund | Economy

The Prime Minister of the United Kingdom, Rishi Sunak, has announced that his country will invest in the Amazon fund. The value will be 80 million pounds, about R$500 million. The Prime Minister stated that the UK’s entry into the fund is recognition of the work and leadership of President Luiz Inacio Lula da Silva in the area of ​​environmental conservation.

Sunak and Lola met on Friday (5th) in London. The President is in the British capital to attend the coronation of King Charles III, tomorrow (6), at Westminster Abbey.

According to the Presidency of the Republic, Brazil is the fourth country that receives the largest amount of resources from International Climate Finance (ICF), the main British program for financing projects in the environmental field, with resources amounting to 260 million pounds sterling, or about 1 Brazilian real. 4 billion.

In a post on social networks, the president wrote that he had a “good conversation” about trade relations between the two countries, environmental protection and world peace. At the beginning of the meeting, and in an open dialogue with journalists, Lula reaffirmed Brazil’s commitments to the issue of climate and combating deforestation, and said that everyone needs to comply with international agreements signed within the framework of the United Nations.

“The poorest countries really need to get help to maintain the status of the forest and the climate that society needs,” he said of the funding promised by rich nations in international negotiations.

Lula thanked the British Prime Minister for his contribution to the Amazon fund and said it was the right time to “try to restore normalcy” in relations between Brazil and the United Kingdom. For the president, there is “enormous potential” for increased trade between the two countries.

Last year, bilateral trade moved $6.5 billion, an increase of 15% compared to 2021. Brazilian exports to Britain totaled $3.7 billion, but accounted for less than 2% of the country’s total overseas sales. Imports amounted to 2.8 billion US dollars. The balance is in favor of Brazil. The areas most invested in the UK are extraction, finance and transportation.

Even today, Lola participates in a reception at Buckingham Palace. The event is hosted by the king and will bring together dozens of heads of state who are invited to the coronation.

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The Amazon Fund invests in actions to combat deforestation and promote sustainability in the region. Created in 2008, the Amazon Fund is managed by the National Bank for Economic and Social Development (BNDES) and can be seen as a type of credit that other countries give Brazil for the good results of its environmental policies.

The Brazilian government has autonomy to decide on the use of the funds, but it relies on two case decisions: the Amazon Fund Steering Committee (Cofa) and the Amazon Fund Technical Committee (CTFA).

The Brazilian Institute for the Environment and Renewable Natural Resources (Ibama), military fire departments (in forest protection programs) and government environmental agencies are among the institutions funded by the fund. The National Institute for Space Research (Inpe) is responsible for environmental monitoring by satellite, which is also supported by the Fund. In addition, state governments may have approved projects. For example, between 2011 and 2017, the Amazon government received R$17.5 million for reforestation in the south of the state, an area under severe pressure from deforestation.

At the end of April, the United States announced a contribution of 500 million US dollars to the Amazon Fund over five years [https://agenciabrasil.ebc.com.br/internacional/noticia/2023-04/eua-anunciam-us-500-milhoes-para-fundo-amazonia-em-cinco-anos]. The funding, which aims to protect the environment, must be negotiated by the US President, Joe Biden, with the country’s Congress.