• New ETF Announcement: IDB and Brazilian banks collaborate on an ETF for sustainable investments in the Amazon.
• Launch Goal: Targeting the ETF launch before the COP30 climate conference in Belém, Brazil, in 2025.
• Democratizing Access: The ETF aims to make sustainable investments accessible to a broad investor base, both domestically and internationally.

The Inter-American Development Bank (IDB), alongside Brazilian public banks BNDES, Banco do Brasil (BB), and Caixa Econômica Federal (CAIXA), announced plans to develop an exchange-traded fund (ETF) focused on sustainable investments in the Amazon rainforest. The initiative, named Amazonia for All ETF, aims to democratize access to sustainable investments, combining financial resources with performance-based incentives.

IDB President Ilan Goldfajn, at the G20 finance leaders’ meeting in Rio de Janeiro, stated, “A year ago, the IDB launched its holistic Amazonia Forever program. Now, alongside our partners, we announce our plan for the Amazonia for All ETF, which will democratize investments for the Amazon and support a sustainable future for the region.“

Aiming for COP30

The ETF is set to launch on the capital markets before the COP30 climate conference in Belém, Brazil, in 2025. The fund will be listed on Brazil’s B3 stock exchange, aiming to create and distribute shares that offer equal access to small and large investors.

Support from Brazilian Banks

• BNDES President Aloizio Mercadante emphasized, “This act of joining forces to drive sustainable development in the Amazon using an innovative instrument on the Brazilian capital market underscores BNDES’ commitment to the COP30 agenda.“
• Banco do Brasil President Tarciana Medeiros highlighted, “This is yet another example of our practical and consistent performance on ESG. The return on this investment goes beyond the financial; today we are building a more promising, fair, and environmentally responsible future.“
• CAIXA President Carlos Vieira noted, “This initiative shows how cooperation can bring permanent benefits for society, especially when it comes to sustainable investments.“

Technical and Financial Support

BNDES, BB, and CAIXA will partner to conduct studies for the ETF, with technical and financial support from the IDB. This partnership aligns with the Green Coalition’s objectives, an international alliance of public development banks promoting sustainable development in the Amazon.

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The Amazonia for All ETF will leverage the portfolios of fixed-income assets from BNDES, BB, and CAIXA, allocated to sustainable loans in the Amazon region. By choosing an ETF as the fundraising vehicle, the initiative ensures liquidity and transparency, making it easier for individuals and entities to invest in sustainability at approximately R$100 per share.

In summary, the Amazonia for All ETF represents a significant step towards sustainable investment in the Amazon, reflecting a collaborative effort to support the region’s ecological and economic health while promoting broader access to investment opportunities.