© AFD – Antoine Grimaud
AFD AND TROPICAL
RAINFORESTS
Promoting the sustainable
management of an exceptional
resource in the Congo Basin
Forest tree/Gabon © AFD – Libreville Agency
A KEY RESOURCE
IN DEVELOPING COUNTRIES
Forests are a resource that both meets human needs and safeguards
the functions of the major environmental balances. Tropical
rainforests are mainly located in developing countries, where they
are essential.
They account for 6% of land area and shelter 70% of known
species of plants and wild animals. They provide ecosystem
regulation services (biodiversity reservoirs, water flow regulation
and carbon storage) and, as they are repositories of rich biological
diversity, they provide humans with resources that are essential
to their survival (mainly food, firewood and pharmacopoeia)
and to their development (income from wood and non-wood
exploitation).
Communities living in and around tropical rainforests are marked
by a high level of poverty. They are highly dependent on forest
resources for both their everyday needs and for their livelihoods.
About 300 million people live in tropical rainforests; 100 million
of them are indigenous peoples. Forests also provide resources
to a community that extends beyond those who live in them:
some 800 million rural dwellers are directly dependent on them
for their livelihoods (food, energy and income).
These policies reconcile the opposition between conservation
and exploitation that prevailed in the 1970s and are now
devoted to promoting sustainable forest development.
They aim to reconcile the need to develop using income from
exploitation and the need to preserve natural environments.
These two approaches used to be considered as conflicting
one with each other.
The aim of AFD’s operations is to promote sustainable forest
exploitation as both a source of income for the poorest
communities and as a guarantee for the long-term preservation
of forest ecosystems. It has provided its financial and
technical support to the forest policy reform in Congo
Basin countries for this purpose. AFD is today pursuing its
support measures at the national and regional levels, while
extending its area of operations to the topics of forest carbon
and biodiversity preservation.
This mobilization in the Congo Basin has helped to develop
expertise that AFD wishes to share with the emerging countries,
in which it has been operating since 2006 under a mandate to
preserve global public goods.
Brazil, India and Indonesia are the three countries in which AFD
has pledged substantial amounts of resources in the forest sector.
AFD OPERATIONS
AFD’s objectives for its operations focus on sustainable forest
management and timber processing industry, forest carbon and
biodiversity. They also aim to support public policies in the
relevant countries.
Regarding the sustainable forest exploitation
and its industry, the objectives are:
t o take action to ensure that the forests are a sustainable
resource for development
t o structure industries in order to consolidate activities over
the long term
t o lead a cooperation process among the different
stakeholders
t o promote local ownership of techniques via the transfer of
know-how
EXPERTISE IN THE CONGO BASIN
AFD’s activities to support forests have
traditionally focused on Congo Basin
countries, but are also being extended to
emerging countries.
Since the early 1990s, AFD has been supporting efforts to
preserve forests made by Cameroon, the Central African
Republic, the Congo and Gabon in the Congo Basin. Indeed,
these countries set out to change forest policies back in the 1980s.
Regarding forest carbon and biodiversity, the
objective is to develop forests and nontimber forest products by:
c ontributing to preserving the major global environmental
balances
a voiding forest land degradation, which is mainly caused by
poverty and the dependence of communities
t aking action to support development and generate income
from the preservation of forest resources and the services
they render
PPAFG Kango Forest project – Forest exploitation wood © AFD – F. Raffatin
Sustainable management
The objective of AFD operations in support
to public policies is:
t o contribute to improving knowledge on the sustainable
management and exploitation of forests and of their
ecosystems (technical knowledge and institutional
architecture experience)
Sustainable management allows forest resources to be exploited
in a manner that does not harm the ecological balance
(regeneration cycles respected, targeted and quantified
exploitation of specific species, as well as low-impact cutting
and logging techniques) and guarantees its regeneration for
future generations.
Forest exploitation wood © AFD – Libreville Agency
t o help local and national institutions initiate an autonomous
management of forest, economic and environmental policies
t o play a proactive role in international negotiations in order
to meet France’s commitment, notably on climate and
biodiversity, and be present in international forest-related
initiatives (Forest Carbon Partnership Facility [FCPF], ecocertification, biodiversity).
Forest cover in Congo Basin countries
A WIDE RANGE OF FINANCIAL TOOLS
AFD Group works in synergy with local, French and international
partners by offering a wide range of financial products: grants
(which can notably be cofinanced in partnership with the French
Global Environment Facility [FGEF]), or sovereign/non-sovereign
loans (including bank credit lines and direct loans to private
companies). AFD and PROPARCO can also mobilize other
innovative financial tools through their participation in trust
funds and reflection on the implementation of payments for
environmental services.
SUSTAINABLE MANAGEMENT
& ECO-CERTIFICATION
Sustainable management is the core topic for AFD operations
in the forest sector. AFD also promotes eco-certification,
which is a voluntary approach that strengthens forest
development processes via a more responsible social and
environmental approach.
This approach to forest exploitation is at the crossroads of
concerns for development and for environmental preservation
and has a strong impact at different levels. At the local level,
it serves to structure industries and thus generates both income
and employment for local communities that are often
disadvantaged. At the national level, it serves to develop the
country’s resources, contributes to economic development
and thus strengthens institutions and policies (environmental
and economic) related to forest resource management.
At the international level, sustainable management contributes
to preserving the major environmental balances and is supported
by numerous international initiatives.
AFD has been working to support sustainable management
of Central African forests for over 15 years. Its action has
contributed to 40% of these forests being placed under
sustainable management. Its aim is to put an internationally
recognized and supported concept into practice in the field. Its
activities fall into three categories that share the same objective
of supporting the preparation, implementation and follow-up
of sustainable management plans through projects financed via
forest administrations, banks or directly to companies.
Eco-certification
Promoting eco-certification is a primary focus for AFD in
strengthening the forest development process at the local
or national levels. Indeed, it provides a way to develop
sustainable forest exploitation industries worldwide in order
to increase incomes and promote products from sustainably
managed forests.
A KEY EXAMPLE OF DEVELOPMENT
Support for the definition of forest management plans (PARPAF) – Central African Republic
The PARPAF project was launched in 2000 to meet the Ministry of Forestry’s need for support in order to define management plans
for forest concessions in the country. The project has two components:
definition of management plans
transfer of knowledge and know-how to the forestry administration
The concessions covered by the project stretch out over an area of more than 2 million hectares. This project is cofinanced by AFD
(EUR 5 million grant, i.e. 56% of the total amount), the private sector and the Central African Government. The Ministry of Forestry is
the contracting authority for the project and CIRAD the implementing agency.
AFD’s aim in supporting this project is to demonstrate that forest management can also be a source of overall development by
generating stable income over the long-term thanks to structured and modern industries, and at the same time respect ecosystems
hrough a sustainable approach to exploitation.
AFD encourages its partners to undertake eco-certification.
It is also providing assistance to a project to support the ecocertification of forest concessions in Central Africa financed by
the French Global Environment Facility (French GEF).
This EUR 1.5 million project aims to train local stakeholders in
eco-‌certification, support the development of these standards
in producing countries and promote these standards to
prescribers and consumers (on domestic markets and in Europe).
The objective is to develop the market for eco-certified products.
BIODIVERSITY & PROTECTED AREAS
The underlying aim of AFD’s operations
in support of protected areas is to enhance
participatory development at the local
and community levels.
Forest ecosystems are unique reservoirs of biodiversity and
provide essential environmental services both to natural
environments and to humans. It is for this reason that AFD
works to preserve these fragile ecosystems.
AFD’s view is that putting ecosystems under exclusive
protection in order to preserve them is not a solution.
It supports projects that integrate protected areas into the local
and national socioeconomic fabric and that seek to enhance
local resources and know-how in a manner that is compatible
with a sustainable use of resources (ecotourism, payments for
environmental services…). The protection of these forest areas
is seen from the perspective of sustainable management.
AFD therefore supports the creation, management and
rehabilitation of protected areas (national and regional natural
parks) in many different geographical areas (Congo Basin,
but also in India, Morocco, Kenya and Madagascar).
The underlying objective of all these projects for which
AFD provides technical, institutional and financial support
is to enhance participatory development at the local and
community levels.
Gabon © AFD Agency
Eco-certification raises consumer awareness, increases demand
and thereby provides an incentive to effectively implement
management plans. The quality of the management of forests
placed under sustainable management is therefore controlled.
AN INNOVATIVE TOOL TO CONSERVE
A UNIQUE ASSET
AFD contribution to the Sangha Tri-National
Trust Fund – Congo Basin
The Sangha Tri-National (STN) cross-border forest complex
was established through a cooperation agreement signed in
December 2000 between the Republic of Cameroon, the Central
African Republic and the Republic of Congo. The agreement
provides for a cooperation mechanism for the sustainable
management of resources in the region. These resources have a
great wealth of biodiversity as this area of roughly 2,800,000 ha is
covered by lowland forests and includes three national parks. It
shelters an exceptional population of Central African mega-fauna
and has diverse habitats, including a hydrographic network,
forests and clearings.
The long-term financing for the management of the area is
ensured through a trust fund. In 2007, AFD contributed to the
fund with a EUR 3 million grant, i.e. 27% of the total capital,
which is cofinanced with WWF and KfW. The endowment fund
has been operational since July 2010.
By supporting the creation and management of a cross-border
protected area, AFD is contributing to preserving forest
biodiversity, to developing the capacities of local institutions
in charge of managing the STN and to the emergence of subregional cooperation for the preservation of a unique
environment jointly managed by these countries.
Fauna © AFD – Libreville Agency
REDD+ (Reducing emissions from
deforestation and forest degradation and
enhancement of forest carbon stocks)
The REDD+ initiative is a tool for
promoting a sustainable use of forests.
It provides an opportunity for the
development of forest countries thanks
to revenues from payments for
environmental services under the climate
mechanism.
Deforestation causes roughly 17% of global CO2 emissions.
The mechanism for avoided deforestation provides financial
compensation to stakeholders for not converting forests for
other uses.
The REDD+ process is a key tool in promoting a sustainable
use of forests. It provides a major opportunity for the
development of forest countries thanks to the carbon finance
revenues it can generate.
AFD is supporting the implementation of REDD+ worldwide,
notably through its support to the Forest Carbon Partnership
Facility (FCPF) managed by the World Bank. In addition,
following the commitments made by the French President
in Copenhagen in 2009, AFD has been given the task of
implementing funds made available under the international
“Fast-start” initiative to ensure a rapid start-up of REDD+
activities in the field. This joint initiative is led by several
governments from both developed countries (Norway,
Australia, etc.) and developing forest countries (notably Papua
New Guinea).
REMOTE SENSING
Satellite monitoring to track the evolution
of forest cover is an essential tool for the
implementation of the REDD+ mechanism.
Satellite imagery is necessary to define reference scenarios
from which emission reductions will be calculated. It also helps
to estimate avoided CO2 emissions depending on the
evolution of forest cover and to monitor deforestation in order
to adapt environmental policies in the most effective way.
The lack of available data and its commitment to support
REDD+ policies prompted AFD to initiate a pilot approach
to providing satellite data covering the Congo Basin forests.
It has achieved this by calling on the unique expertise
that French stakeholders’ have developed in remote sensing
(a similar initiative has already been set up on the Guiana Shield).
PROVIDING AN INNOVATIVE RESPONSE
AND TARGETING RATIONAL AND
SUSTAINABLE RESOURCE EXPLOITATION.
20 years of experience in the Congo Basin
France began promoting the management of Congo Basin
forests back in the 1990s. At that time, public awareness
of uncontrolled exploitation of forest resources increased and
the majority of donors avoided dealing with the private sector.
AFD made a long-term commitment to support the
preparation of forest management plans. Its aim was to remain
focused on strengthening sustainable management by gradually
integrating the new paradigms and opening up to biodiversity
conservation and to social aspects.
An independent ex post evaluation conducted in 2010 validated
the strategic decisions made over the past two decades and
highlighted future developments and challenges.
Forest management is today essential in this region where
practices are changing. Promoting dialogue among stakeholders
has been a decisive factor. One of the major accomplishments
of AFD’s operations has clearly been the effective
implementation of contractual arrangements for sustainable
forest management between the State and private sector.
However, these results remain fragile and will need to be
strengthened and adapted to new challenges, such as climate
change and transformations brought about by the arrival of
Asian operators.
CONTRIBUTION TO FOREST
COVER MONITORING
Program to provide satellite data on Central Africa’s
forest cover
Following France’s commitments at the Copenhagen Conference,
AFD set up in 2010 an ambitious program to make satellite
data available to monitor forest cover in Central African
countries. This data will be made available to all stakeholders
wishing to work on REDD+ in the geographical area covered. This
agreement was negotiated with EADS-Astrium, the majority
shareholder of Spot Image. It meets one of the needs of the
REDD+ mechanism because by having satellite data on forest
cover, it is possible to assess both the potential to reduce forest
carbon emissions and the reductions that are actually made as a
result of REDD+ activities. Yet many tropical forest countries do
not have the capacity to acquire such data. AFD’s aim through
this project is therefore to initiate a pilot approach that could
be reproduced in other geographical areas.
This EUR 11.5 million project specifically plans to cover the
southern half of the Central African Republic and to provide
imagery correction.
Forest tree / Gabon © AFD – Libreville Agency
AGENCE FRANçAISE DE DéVELOPPEMENT (AFD)
Through offices in more than fifty countries and nine French Overseas
Provinces, AFD provides financing and support for projects that improve
people’s living conditions, promote economic growth and protect
the planet: schooling, maternal healthcare, help for farmers and small
business owners, clean water supply, tropical forest preservation, and
fighting climate change, among other concerns.
In 2010, AFD approved more than €6.8 billion for financing aid activities
in developing countries and the French Overseas Provinces. The funds
will help 13 million children go to school, improve drinking water access
for 33 million people and provide €428 million in microloans benefiting
more than 700,000 people. Energy efficiency projects financed by AFD in
2010 will save nearly 5 million tons of carbon dioxide emissions annually.
www.afd.fr
www.proparco.fr
PROPARCO, AFD’s subsidiary dedicated to private investment, promotes private investment
in emerging and developing countries in order to boost growth, promote sustainable
development and reach the Millennium Development Goals. Its financing is tailored
to the specific needs of investors in the productive sector, financial systems, infrastructure
and private equity investment.
FFEM
www.ffem.fr
FFEM is a bilateral public facility set up by the French Government in 1994 following the Rio
Summit. It aims at promoting global environmental protection via sustainable development
projects in developing or transition countries. The French Global Environment Facility
supports physical projects in recipient countries. Its operations are learning-based and
support experimental, innovative or exemplary approaches.
This brochure respects the environment and
was printed using vegetal ink on PEFC™ certified
paper (sustainable forest management).
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www.afd.fr
département technique
opérationnel (DTO)
DIVISION ENVIRONNEMENT
et EQUIPEMENT (ENE)
Photo credits: AFD unless mentioned otherwise – Creation: Planet 7 – March 2012
AFD, the Agence Française de Développement, is a public development
finance institution that has worked to fight poverty and support
economic growth in developing countries and the French Overseas
Provinces for 70 years. AFD executes the French government’s
development aid policies.