Publication

This paper discusses the Global Environment Facility (GEF) that has been established as a multilateral mechanism of transfer to internalize cross-border externalities generated by protected area measures for biodiversity conservation. The author empirically analyzes the use of GEF funds and finds that transfers generally do not play the role of compensations in that they directly balance foregone payoffs from alternative land uses. He argues that the funds are also not primarily directed to the expansion of protected area systems but address improvements in the management of already legally designated sites.