Bolivia is working to reduce deforestation across 12.5 million hectares in Pando and the Indigenous Guaraní Municipality of Charagua Iyambae, as part of the LEAF (Lowering Emissions by Accelerating Forest Finance) Coalition. In partnership with the Bolivian government, CSF is supporting this effort by designing a Benefit Sharing Mechanism (BSM) to incentivize sustainable forestry practices. While intended for LEAF funding allocation, the BSM will also serve as a model for resource distribution in other jurisdictions.
CSF’s activities include a historical deforestation analysis, resource distribution modeling, and stakeholder coordination with the government of Pando and Indigenous Territorial Authorities (TIOCs) in Charagua. CSF is analyzing legal and institutional frameworks, and designing allocation models based on economic, social, and environmental criteria. The CSF team will build a cost analysis estimating the financial needs for the BSM's five-year implementation.
The project’s main output is a comprehensive BSM design document estimating the financial needs for the BSM's five-year implementation, and detailing the most equitable resource distribution strategies at national and local levels. The BSM will link financial benefits to measurable conservation outcomes, ensuring alignment with environmental goals. The design process included consultations with key institutions like APMT and BDP to refine and validate the mechanism.
Once CSF’s role concludes, Bolivian authorities will oversee implementation, fostering long-term conservation by incentivizing sustainable practices. This initiative supports global efforts to combat deforestation and climate change by preserving 12.5 million hectares of forest. By promoting equitable benefit-sharing, it advances international goals of reducing emissions and strengthening environmental stewardship.
Funded by the Swedish International Development Cooperation Agency (SIDA), this initiative marks a major milestone in Bolivia’s forest conservation efforts. Its successful design provides a framework for similar initiatives, paving the way for sustainable environmental management and fair resource distribution.
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Image: Eduardo Avaroa Andean Fauna National Reserve in Bolivia
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