70524 Well-managed ForeStS have the Potential to reduce Pover- ty, SPur economic develoPment and contribute to a healthy local and global environment. SuStaining ForeStS For all The Program on Forests (PROFOR) was created in 1997 to sup- port in-depth analysis, innovative processes, knowledge-sharing and dialogue to promote sound forest policy that leads to better 1 Improving people’s livelihoodsand trees better management of forests through outcomes in terms of livelihoods and financing, governance, con- servation, cross-sectoral coordination and climate change. Initially based at UNDP in New York, the program moved to the 2 Enhancing forest law enforcement and governance World Bank in Washington DC in 2002, to coincide with the launch of the Bank’s new forests strategy. Since then, the program has been managed by a core team based in the Bank’s Agriculture 3 Financing sustainable forest management and Rural Development department with support from multiple donors. 4 Coordinating forest policy across sectors In 2011, these donors included the European Union, Finland, These themes have guided PROFOR through different Germany, Italy, Japan, the Netherlands, Switzerland, the United times — the birth of the National Forest Programme Kingdom and the World Bank. (NFP) Facility, the heyday of the Non-Legally Binding PROFOR contributes to building the capacity of institutions and Instrument, the REDD wave and current concerns with stakeholders in forest policy processes to address more effec- food security and green growth. PROFOR analysis and tively poverty alleviation, national economic development, cli- field work have helped ground the international debate mate change mitigation and adaptation, and sustainable forest throughout these policy trends by providing rigorous, management. evidence-based analysis that aims to set the path for innovative thinking and informed decision-making. ProFor FocuSeS on Four broad themeS: Four themeS… imProved livelihoodS — In many countries, forests innovative Financing — Sustainable forest management contribute to the livelihoods of indigenous peoples and seeks to achieve a balance between society’s increasing the rural poor through subsistence uses, environmental demands for forest products and benefits, and the pres- services, employment and income-generating activities. ervation of forest health and diversity. Achieving this equi- librium requires new financing approaches in the forest PROFOR contributes to a better understanding of forests sector, both in terms of how forest resources and services as a source of livelihoods and a source of income for small are valued and the sources of investments in the sector. and medium forest enterprises. It also explores the im- pacts that forest-related policies and initiatives may have PROFOR explores ways in which private investment and on local communities. new financing instruments, such as payments for envi- ronmental services and climate-related REDD+ initia- good ForeSt governance — Strong forest governance tives, can help make sustainable forestry more profitable is the keystone of sustainable forest management. Illegal than unsustainable forest exploitation. logging and poaching have devastating consequences for forests, the people and species that rely on forests, croSS-Sectoral coherence — Sustainable forest man- and the larger national economy. Poor governance also agement requires cooperation across several sectors to en- compromises the future viability of global forestry carbon sure that sound policies and practices are not undermined schemes to mitigate climate change. by shifts in macroeconomic policy or activities in other sectors such as agriculture, mining, and transportation. PROFOR aims to enhance accountability in the forest sec- tor and contribute to a better understanding of forest law PROFOR fosters mechanisms for coordinating policy enforcement and governance by supporting technical as- across sectors. Its analysis highlights trade-offs as well sistance and fostering stakeholder dialogue. as win-win situations where healthy forests generate lo- cal and global goods. It also seeks to expand the boundar- ies of the forests debate by looking at issues such as food security, land tenure, energy or green growth. PROFOR’s thEmEs aRE COmmOn tO muCh OF thE glObal dIsCussIOn abOut FOREsts and climate change. FOR ExamPlE dEFInIng FOREst gOvERnanCE IndICatORs tO bEnChmaRk REFORm, OR PROvIdIng guIdanCE On PublIC ExPEndItuRE REvIEws In thE FOREsts sECtOR, wIll hElP COuntRIEs REsPOnd tO gROwIng PREssuRE tO ImPROvE thEIR FOREstRy systEms tO PaRtICIPatE In REdd+ PROgRams. an aPPRECIatIOn FOR thE COmPlEx lInkagEs bEtwEEn FOREsts and lIvElIhOOds and a dEEP undERstandIng OF dRIvERs OF dEFOREstatIOn In a gIvEn aREa wIll alsO dEtERmInE thE FatE OF many ClImatE ChangE InItIatIvEs. …and multiPle queStionS Analytic work is the backbone of PROFOR’s portfolio. Our un- forest policy and lending are convergent, and inform policy, derstanding of complex forest related subjects starts with donor finance and budget development. formulating pertinent questions and finding skilled analysts to probe for lessons and answers. For example: doeS timber Fuel conFlict? — The short answer is no. However, timber revenues have helped prolong armed conflict hoW Well iS Public money being SPent in the ForeStS in places like Liberia. And extensive areas of the world’s Sector? — With the prospect of greatly increased financial forests are found in states showing degrees of fragility. Over flows coming from forest carbon finance, the question the last year, PROFOR has supported the development of a of the allocation and efficiency of spending in the forests review and synthesis of some of the key issues associated sector has become of great interest. PROFOR sifted through with forests, fragility and conflict, and offered guidance 61 public expenditure reviews (PERs) to articulate a best about how these issues might be addressed by governments practice approach to conducting them in the forests sector. and donors in post-conflict states. The findings have helped These guidelines should help practitioners conduct credible inform the preparation of the 2011 World Development PERs (on behalf of donors or ministries) that identify whether Report on Conflict and Development. PROFOR has CaRRIEd Out OvER 90 analytIC aCtIvItIEs In 2002-2010. bROwsE FIndIngs and dOwnlOad REPORts at WWW.ProFor.inFo/ ProFor/knoWledge under What conditionS Will ForeSt dePendent do large Scale Farmland acquiSitionS PoSe a riSk communitieS beneFit From money inveSted in to local communitieS and ForeStS? Volatility in redd+? — The question of how to divide benefits — whether food prices, concerns regarding food and energy security, from sustainable forest management or forest carbon and potential markets for carbon trading involving forests projects — is of recurring interest given the great variety have spurred a new wave of large scale land acquisition of land tenure and forest management regimes around the by private investors in developing economies. Concerned world. Numerous experts have stated that clarity over carbon by the potential impact of this wave of land-acquisition on rights will be central to getting REDD benefits to the right forests, PROFOR provided seed financing for a team led by communities. But PROFOR has found that the situation the World Bank’s Development Economics Group to examine is more nuanced than this. It found for example that a the magnitude and cause of the new wave of acquisitions, sustained, incremental approach to legal reform may work and to identify how to tackle social and environmental best and that elite capture of benefits intended for local issues raised by these purchases, particularly in regards to communities is always a risk. The findings of this activity are forests. The study and resulting publication Rising Global being integrated into upcoming training sessions organized Interest in Farmland received wide attention and prompted around the subject of forest carbon finance. the development and adoption of principles for responsible agro-investment by an array of partners including IFAD, FAO, UNCTAD and the World Bank. http://www.PROFOR.info our reach inFluencing World bank engagement in the inForming ForeSt Policy dialogue ForeStS Sector Through its activities, PROFOR has always sought to influ- When PROFOR moved from UNDP to the World Bank in 2002, ence forest policy dialogue at the national, regional and it gained privileged access to the largest source of multilat- international levels by leveraging partnerships. Recent eral financing for forests and a chance to inform and influ- examples: ence the Bank’s operations at a time when the institution was reengaging in the forests sector. A mapping exercise, developed in coordination with the Global Partnership for Forest Landscape Restoration, re- Many of PROFOR’s activities respond to questions and vealed that there are more than 1 billion hectares of de- needs identified by the Bank’s experts, forests team and re- graded forest lands which could be rehabilitated to address gional operational staff. This close relationship provides a key global challenges such as food security and climate precious two-way channel between analytic work and field- change. The idea made its way from the hallways of the work. It gives PROFOR a deep understanding of the forestry Global Partnership on Forest Landscape Restoration to the sector in a wide range of countries as well as a solid ap- pages of The New York Times and The Economist, into the speech of the World Bank’s Vice President for Sustainable Development at Forest Day 4, and most importantly into the minds of the UNFCCC negotiators who have moved from a narrow focus on avoided deforestation to a recognition of the full potential of REDD+ activities. The next step is to as- sess restoration opportunities at the country level. PROFOR is currently supporting national assessment work in Ghana and sponsoring a forum to help mobilize private investment in trees and landscape restoration in Africa. At the regional level, an ongoing in-depth analysis of the drivers of deforestation in six countries of the Congo Basin preciation for shifting priorities and opportunities. PROFOR is helping define methodological tools to better understand is also able to transfer ideas generated in the international the potential impact of development in different sectors arena and test them at the national level in the course of on future forest cover. The work has already broadened the activities championed by regional staff. carbon debate beyond forestry and is beginning to shape REDD+ readiness plans. « At the national level, PROFOR has a strong track record of working with local partners to improve forest law enforcement and governance, particularly in Latin American countries. In this manner, PROFOR occupies a PROFOR’s support for the development of country specific unique funding niche: It combines the mahogany yield tables, for example, is helping law enforce- advantages of a small foundation (flex- ment agencies and private processing units in Guatemala » ibility, nimbleness, speed and relative and Peru identify disparities between licensed harvesting autonomy), with significant convening volumes and sawnwood exports of this endangered species. power and access to decision makers The methodology has been endorsed by CITES. through its relationship with the bank. Forging PartnerShiPS ingredient into the implementation of international initia- tives such as the Forest Investment Program and FLEGT PROFOR support strengthens the Bank’s collaboration with Voluntary Partnership Agreements. This common framework other development partners, in particular with the NFP should ultimately promote donor harmonization and more Facility, with members of the Collaborative Partnership on effective development results. Forests (CPF), with the European Union’s programs on forest law enforcement, governance and trade (FLEGT), and with a raiSing aWareneSS variety of REDD+ related initiatives. PROFOR produces publicly available goods — reports, guid- In 2009-2010, PROFOR merged its governance work with a ance notes, workshops, reviews that summarize best prac- parallel Forest Law Enforcement and Governance Trust Fund tice, and toolkits — to help key forest stakeholders address financed by the European Union. The merger has boosted a wide array of technical forest issues. PROFOR’s expertise in this field and resulted in cost-savings for the EU. In particular, the PROFOR Secretariat has taken an increas- ingly proactive approach to communicating knowledge on In 2010, PROFOR became a sponsor of Forest Day, the an- its website www.profor.info. Knowledge products are nual gathering organized by CIFOR on behalf of the CPF in fully searchable and tagged by keyword, interim findings are conjunction with the UN climate change conference, bring- shared before the formal publication process, and studies ing to the table expertise in adaptation and governance. are boiled down to key points in video interviews. Regular newsletters keep donors and stakeholders up to date. In the process of generating and sharing analysis and tools, PROFOR has formed a large and flexible network with NGOs, By leveraging social media tools such as Twitter, PROFOR is government and international organizations, as well as also reaching new audiences around the world. It is spread- leading think-tanks and the CGIAR network. For example, ing forest ideas among business people, activists, journal- PROFOR joined forces with FAO to convene country repre- ists, scientists — people from all walks of life who care sentatives, donor partners and various NGOs in Stockholm about the future of the world’s forests and are increasingly in 2010 to discuss governance diagnostic tools and agree vocal on matters ranging from biodiversity to corruption, to develop a common framework for assessing forest gov- certification and climate change. ernance in different countries. This is seen as a crucial an OPEn sOuRCE OF FOREst IdEas FOllOw us at W W W.t W i t t e r .c o m / F o r e St i d e aS http://www.PROFOR.info « PROFOR’s steady presence and forest policy expertise have both influenced and been an asset to the world bank. since the bank agreed to host the secretariat at the request of PROFOR’s advisory board in 2002, it has financed about 10% of PROFOR’s annual budget (contributing over the years more than $1.5 million). » hoW We oPerate The work program is managed by a small Secretariat in the Agriculture and Rural Development Department at the World WHERE WE WORK (2010 Commitments By Region) Bank. Proposals for PROFOR activities are an outcome of discussions with global partners and donors and with World SAR Bank central and regional technical staff who liaise closely MENA 5% 5% AFR with counterparts and local stakeholder groups in develop- 20% ing countries. The Secretariat consults with bodies such LAC 13% as the CPF, the European Forest Institute, the FAO and the Global LAC=Latin America/Caribbean UNFF Secretariat to help identify priority topics. PROFOR’s MENA=Middle East/North Africa EAP Advisory Board provides guidance about the overall direction SAR=South Asia 10% AFR=Africa of the program. EAP=East Asia/Paci�c ECA=Europe/Central Asia ECA PROFOR supports activities that are meant to be innovative, 11% support knowledge dissemination, and are consistent with GLOBAL PROFOR’s strategic framework. 36% At the implementation stage, the Secretariat develops partnerships with local, national and regional stakeholders who work closely with us to deliver knowledge products and analysis on a contractual basis. an exPanding Program PROFOR has expanded dramatically in the last several years, from a relatively modest program ANNUAL DISBURSEMENTS FLEG & PROFOR which responded somewhat reactively to new demands for good analytic work, to a program 5,000,000 which is now tightly focused and strongly 4,500,000 SAR aligned around its5% core themes. MENA four 4,000,000 5% AFR 20% 3,500,000 In 2010, PROFOR initiated 26 new activities, LAC 3,000,000 13% and had an active portfolio of 48 projects, 2,500,000 up from 33 projects the previous year. Steady EAP 2,000,000 growth in demand for the types of analysis and 10% other activities supported by PROFOR accounts 1,500,000 for the increase, but is also a reflection of an 1,000,000 ability to provide strategic support forECA ini- new 500,000 1% tiatives in a timely manner. New commitments GLOBAL 0 36% and disbursements for PROFOR activities in CY 02 CY 03 CY 04 CY 05 CY 06 CY 07 CY 08 CY 09 CY 10 2010 reached $4.5 million, a 6 percent increase FLEG PROFOR from 2009. « PROFOR is recognized — and valued — as a cost-effective mechanism for mobilizing leading edge analysis, » and is well networked into global, regional, and national fora. It has been shown to be flexible and able to respond quickly as new themes have emerged. Indeed, the global forestry picture is vastly different today than it was in 2002, but PROFOR has adapted and engaged proactively in responding to these changes. http://www.PROFOR.info All photos World Bank, except for post-conflict landscape (Sean Sutton/MAG/Panos), house in forest (Jeremy Horner/Panos) and tree nursery (Mikkel Ostergaard/Panos). For more inFormation on ProFor PleaSe contact the Secretariat at: PROgRam On FOREsts (PROFOR) thE wORld bank 1818 H Street, NW WaSHiNgtoN, DC 20433 USa tel: +1 (202) 473-5844 Fax: +1 (202) 522-1142 email: proFor@worldbank.org Website: http://www.proFor.info twitter: www.twitter.com/ForeStiDeaS