Brazil plans to launch a massive green transition package worth hundreds of billions of dollars in public and private investments. The plan, scheduled to be unveiled in August or September, will focus on various initiatives to reduce carbon emissions and promote sustainable practices in six areas, including carbon trading, bioeconomy, and infrastructure adaptation. The goal is to make Brazil a leader in decarbonizing its economy, especially among developing countries.
The expected announcement comes as Brazil has shown progress in slowing down deforestation in the Amazon compared to the previous administration. The plan is seen as an opportunity to attract international investments and change the country’s image from an environmental pariah to a more environmentally conscious nation.
The package aims to continue beyond the current president’s term and fulfill Brazil’s commitments to achieve climate neutrality by 2050. It includes creating a regulated carbon market, investing in green technologies, and focusing on developing industries based on the country’s rich biodiversity.
While some activists remain cautious about the president’s environmental commitment, many investors have praised the change in attitude and the opportunities the green transition presents for the country’s development.
The government plans to fund a significant portion of the package through partnerships with the private sector, avoiding breaking fiscal rules. However, political challenges are expected, but officials are optimistic about the plan’s potential benefits for both the environment and economic development.
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