Forest economics and finance
Financial and economic forces are major factors affecting the way that forests are managed. FAO's work on forest finance examines the way that forest policies and institutions can use these forces to improve forest management.
Why is forest finance important?
Many of the world's forests are still managed primarily for the commercial production of goods and services. Yet, increased awareness, international conventions and globalization of markets are highlighting the importance of sustainable forest management to achieve broader development goals. Forest finance is important as it affects the feasibility of shifting from unsustainable to sustainable practices, the distribution of costs and benefits amongst different stakeholders, and consideration of the non-market costs and benefits of forests. Furthermore, the financial and economic implications of managing forests in different ways are important factors that influence the implementation of sustainable forest management.
Work on forest finance at FAO
These webpages present the results of two recent projects:
They also present some tools, models, other studies and relevant links on the subject of forest economics and finance that may assist countries in the financial and economic analysis of the forest sector and in the development of financing strategies.
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