Brazil: Recovery of Caatinga supported by public banks

Together, the Banco do Nordeste (BNB) and the Banco Nacional de Desenvolvimento Econômico e Social (BNDES) will allocate BRL 10 million to restore the Caatinga, one of Brazil's six biomes.

Under the Floresta Viva program, this joint initiative aims to implement ecological restoration projects using native species and agroforestry systems.

This significant step was announced during the event "Economic Development - Perspectives and Challenges of the Northeast Region" held in Brasília on Wednesday (Jul. 26), with the participation of regional governors, under the leadership of Brazil’s Vice President and Minister of Development, Industry, Trade, and Services, Geraldo Alckmin.

According to Tereza Campello, the BNDES Socio-environmental Director, each institution will contribute BRL 5 million to finance the restoration projects.

"We aim to restore the white forest, the caatinga—one of the most devastated biomes in Brazil that urgently requires restoration. It often doesn't receive the attention given to the Amazon rainforest. However, the Caatinga holds immense potential for carbon sequestration. BNB and BNDES are embarking on a new era where institutions unite forces and collaborate," stated Tereza Campello.

The Caatinga—derived from the Tupi-Guarani language which means "white forest"—stands as an exclusively Brazilian biome, adapted to thrive in high-temperature and arid conditions. Spanning an expansive area of 826,411km2 in Brazil's Northeast region, this biome boasts remarkable flora and fauna, including various endemic species.

Development

"The Northeast holds utmost importance for the Brazilian federal government, particularly during President Lula's administration. To foster development and implement effective public policies, collaboration between federated entities—the federal government, states, and municipalities—stands as the most favorable approach. While each state possesses its distinctiveness, characteristics, and vocations, numerous challenges are inherently regional in nature. Therefore, adopting this regional and federative approach remains exceptionally crucial," expressed Alckmin during the meeting's inauguration.

He emphasized the region's potential in environmental issues and energy transition. "The Northeast is today the great pole of development of solar, wind, clean, renewable energy, oil and gas, agribusiness, biodiesel, and neoindustrialization," he added.