The forests of the Brazilian Amazon are, by any measure, among the most important ecosystems on Earth. They absorb carbon on a planetary scale, regulate rainfall across South America, and shelter biodiversity that science is still cataloging. International negotiations, carbon markets, and diplomatic agreements all rest on the assumption that these forests will remain standing. Yet while the Amazon spans nine Brazilian states, the three whose territory is most overwhelmingly forest — and which therefore carry the heaviest share of the conservation burden — are among the poorest and most fiscally dependent in the country. The states of Amapá, Acre, and Amazonas operate on budgets so dependent on federal transfers that they have almost no fiscal room to act on their own. That is not a coincidence. It is a design flaw in Brazil’s fiscal constitution, and it is getting worse. The argument here is simple: Brazil cannot credibly lead global climate diplomacy while its Amazonian states remain fiscally trapped. The forest will not protect itself. And the states responsible for protecting it do not have the money to do so. Tropical forest near Atalaia do Norte, Amazonas, Brazil. Image by Gloria Pallares for Mongabay. What the budgets show Amapá is larger than Ecuador. Nearly three-quarters of its territory is classified as federally protected land — national parks, Indigenous reserves, and conservation units — that the state is legally obligated to maintain but receives no specific compensation for. In 2025, more than 60% of its entire state budget came from…This article was originally published on Mongabay

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