comparative advantages of conservation trust funds and project approach to support protected areas systems
the present report aims at answering the following question: “why should significant amounts of scarce and expensive resources be committed in the capitalization of a ctf, with small returns in the long term, while more immediate and visible results could be achieved with direct investments in biodiversity conservation in the form of short-term projects.” the objective of the present study is to compare the advantages and disadvantages of financing through a long-term, ctf mechanism versus a project-finance approach to support protected areas systems, as well as to put in evidence the conditions that determine the decision of both investment options. the focus of the study is on african and latin american countries.
the underlying problem is that in most countries a financing gap can be observed, i.e. the demand for finance in a national pa system is significantly higher than the supply of finance. in many countries this gap is expected to increase over time, including in particular in most african and latin american countries. the present report advocates the increased use of pa system financing strategies (see proposed methodology below) and the application of good international practice (e.g., oecd council recommendation c(2006)84 for ctfs) to further rationalize pa finance.