Indonesia reaffirmed its cautious yet supportive stance toward the Tropical Forest Forever Facility (TFFF) as a potential global financing mechanism to protect tropical forests and drive sustainable development. The statement was reflected during a bilateral meeting between representatives of Indonesia’s Ministry of Forestry and Systemic, the Project Management Office (PMO) responsible for developing the TFFF framework from its initial concept to the recently launched version 3.1.
The Indonesian delegation, led by Edo Mahendra and Silverius Oscar, Senior Advisors to the Minister of Forestry, accompanied by Krisdianto, Head of the Bureau of Public Relations and International Cooperation, met with Felipe, Jeremy, and Barbara from Systemic in São Paulo, Brazil, on the sidelines of the preparations for the COP30 Climate Conference in Belém.
“Indonesia has expressed its support for the TFFF as an innovative financing mechanism with a noble mission to save tropical forests through an economic approach,” stated Edo Mahendra during the meeting.
He added that Indonesia’s engagement with the TFFF aligns with the country’s efforts to achieve its Forestry and Other Land Use (FOLU) Net Sink 2030 target, which aims to reduce emissions in the forestry sector through conservation, rehabilitation, and sustainable forest management.
The Tropical Forest Forever Facility is an international financing initiative designed to ensure the long-term sustainability of tropical forest ecosystems—the world’s largest carbon sinks—essential for maintaining global climate stability. Indonesia views the facility as a catalyst for cross-country and multi-stakeholder collaboration, empowering community-based approaches to preserve forests for future generations.
Under the TFFF framework, participating tropical forest countries will receive result-based financial incentives to prevent deforestation and forest degradation. The mechanism adopts a blended finance model, combining public and private funding sources with a potential capitalization of up to USD 125 billion, aimed at supporting both forest conservation and sustainable economic growth.
During the discussion, Felipe from Systemic shared that the TFFF concept originated 25 years ago, evolving through extensive financial governance and forest management reforms. The latest TFFF Version 3.1 highlights a strong emphasis on ensuring that at least 20% of the financial incentives directly benefit Indigenous Peoples and Local Communities (IPLCs), recognizing their critical role in protecting tropical forests.
Indonesia’s careful approach reflects its commitment to ensuring that global climate finance mechanisms remain inclusive, transparent, and beneficial for both the environment and local communities. ***
