Agriculture and natural resources (ANR) are an integral component of a nation’s wealth. They provide the foundation for human sustenance, livelihood and economic development activity. Global Best Practice Group’s expert was retained by the Asian Development Bank to undertake a study to provide justification for agriculture and natural capital investments made by multilateral development banks. The sustainability of ANR ecosystems can be achieved through a perpetual stream of investments that restore, revive, replenish and replace expended and utilized resources. The study reviewed empirical evidence of returns in the context of poverty reduction potential of ANR investments and creation of infrastructure for sustainability and social protection concerns. The relevance of natural capital valuation methodologies and quantification of ecosystem services was examined. Existing ground realities, approaches, and actions taken by policy makers and developmental agencies, including Multilateral Development Banks, towards investments in natural capital were reviewed in the context of the role of ANR ministries and the influence that they exerted on development agendas of government. Developed a framework for making ANR investments justifiable in terms of returns, tangible results, benefits, and positive impacts, that are acceptable to policymakers and investors. An ecosystems approach to integrated management and planning was suggested for natural resource utilization and conservation. Existing financing mechanisms for ANR projects and services were evaluated in terms of the investment strategy and expectations of the investors and new funding sources for the sector were proposed through an investment framework for specific investor groups.
Consultants
to the Development World ™
