What you need to know about nature finance ahead of COP30

The opinions expressed here by Trellis expert contributors are their own, not those of Trellis.

As the world prepares for COP30 in the heart of the Amazon, the role of nature and forests will be elevated like never before. Brazil is setting the agenda, not just as host, but as a leader in evolving how forest protection and restoration are financed. With the U.S. government largely absent from tropical forest diplomacy, a new generation of Global South-led initiatives is filling the gap, and changing the landscape for corporate action.

For corporate sustainability teams focused on climate and nature, COP30 isn’t a technical debate. It’s a strategic shift with real implications for reporting, procurement and net zero strategies. Two big developments stand out: new financing models for large-scale forest protection and a wave of investable reforestation and restoration initiatives that are gaining traction. Both will shape how companies engage with nature-based solutions over the next decade.

Shift 1: Innovative finance is getting real

Nature-based solutions have often struggled to attract sustained investment due to inconsistent funding flows, the complexity of safeguards designed to ensure environmental and social integrity and uncertainty about long-term returns. These safeguards, which are essential to protect Indigenous rights, ensure equitable benefit-sharing and strengthen climate impact, have sometimes created additional barriers for investors and corporate partners. That’s starting to change. One of the clearest examples is how Brazil is scaling up jurisdictional forest protection through new financing mechanisms that combine public policy alignment, independent monitoring, and performance-based payments.

In Tocantins state, for example, the government is on track to issue what could be Brazil’s first jurisdictional-scale forest carbon credits, covering 27 million hectares across the Amazon and Cerrado. But what’s innovative isn’t just the size; it’s the structure. The program blends upfront private capital with results-based carbon revenue, grounded in state policy and supported by more than 40 consultations with Indigenous peoples, traditional communities and smallholder farmers to date. Importantly, these programs use robust benefit-sharing frameworks and monitoring, reporting and verification (MRV) systems to meet integrity expectations from buyers, regulators and civil society.

Another major development is the Tropical Forests Forever Facility (TFFF), proposed by the Brazilian government. Unlike carbon credit markets, which pay for emissions reductions, the TFFF is designed to provide long-term, predictable payments to countries that maintain low deforestation rates. These payments are based on satellite-verified preservation of forest cover, creating a complementary incentive for keeping forests intact even after deforestation is significantly reduced. While TFFF doesn’t involve the sale of carbon credits, it adds another dimension to jurisdictional forest finance, particularly for countries like Brazil that are actively pursuing both emissions reductions and long-term forest maintenance.

For corporate sustainability leads, this opens up several new options for investing in vital forest ecosystems:

Credible jurisdictional credits: Companies can support carbon reductions that minimize the risk of leakage while securing permanence. These jurisdictional efforts are backed by full territorial oversight and represent a meaningful evolution from traditional project-level investments, offering new opportunities for scale and integration without replacing the vital role that well-governed projects continue to play.
Blended finance participation: Early-stage investments in enabling conditions (e.g. land titling, satellite monitoring, or community capacity building) can support wider forest outcomes and demonstrate strategic leadership.
Integrated supply chain engagement: Jurisdictional programs create the opportunity to link commodity sourcing goals (e.g. deforestation-free soy or beef) with climate mitigation efforts at regional scale.
Support for long-term protection: While the TFFF is designed primarily as a government-to-government mechanism, it reflects a growing recognition that forest-rich countries should be financially rewarded for maintaining intact ecosystems. Companies can align with this shift by supporting complementary jurisdictional approaches and engaging in advocacy for more stable, long-term forest finance.

Shift 2: Reforestation and restoration are maturing

Reforestation and restoration in Brazil are moving from fragmented pilots to coordinated, investable portfolios—especially across degraded pastureland.

One of the most ambitious efforts is the Brazil Restoration and Bioeconomy (BRB) Finance Coalition, launched in 2024. The coalition aims to mobilize $10 billion by 2030 to restore over five million hectares of native vegetation, much of it in high-priority biomes like the Atlantic Forest, Cerrado, and Amazon.

Restoration projects under BRB generate returns from multiple sources, including high-quality carbon removal credits, certified timber and agroforestry products and community-led bioeconomy businesses. By blending concessional and commercial finance, BRB members are helping projects access upfront capital for planting and maintenance while attracting long-term investors.

For companies, particularly those with nature targets under frameworks like the Science Based Targets Network (SBTN) or the Taskforce on Nature-related Financial Disclosures (TNFD), this offers a credible way to:

Invest in long-term carbon removal in line with net zero commitments
Support biodiversity, water security and rural economic development
Demonstrate leadership in regenerative sourcing and nature-positive strategy

As restoration pipelines mature, corporate engagement will be expected to move beyond pilot partnerships to meaningful, scalable investment. BRB and similar initiatives show what that transition can look like.

Why these shifts matter

Until now, many corporate nature strategies have been limited to offsetting emissions or supporting small, localized conservation efforts. But that model now sits within a broader landscape of expectations. Companies are increasingly expected to support approaches that align with national strategies, deliver real results that improve business outcomes and scale impact across entire landscapes. As finance for nature becomes more sophisticated, so too do the expectations around quality, transparency, and long-term impact.

To meet these shifts, sustainability teams will need to adjust in several areas:

Target setting: Science-based targets for nature (e.g. under SBTN) require companies to engage across full value chains and landscapes, not just within operational boundaries.
Investment strategy: Investors and customers increasingly scrutinize whether nature-related investments are additional, scalable and aligned with Indigenous and local community priorities.
Procurement: Forest-risk commodity sourcing must now consider regional governance and deforestation trends, not just supplier-level compliance.
Disclosure: Emerging frameworks like TNFD require companies to assess and disclose nature-related dependencies, risks, and impacts. Jurisdictional and restoration initiatives offer credible inputs for these assessments.

COP30 will be a moment of global attention and scrutiny. It will be a political summit hosted in the world’s largest rainforest, shaped by the priorities of forest-rich nations and framed around the global need to protect, manage and restore natural ecosystems. Companies that can clearly articulate how their nature strategies align with high-integrity public programs will be better positioned to lead.

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