something more in line with the timber’s real economic value. The introduction of fiscal and incentive policies that would encourage greater private sector participation in forest management and reforestation and the introduction of measures to ensure that a higher proportion of forest taxes and revenues are returned to forest management.

In many of the countries of the Region, overly generous past timber concessions and fiscal incentives have encouraged wasteful timber exploitation and accelerated destruction of the forests. They encourage high grading of valuable species and discourage investment in reforestation. Adjustment of timber taxation and fiscal policies in most countries of the Region is an essential complementary measure in addition to direct investment in forest-development programs if currently extensive and wasteful harvesting are to be brought under control.


The development agencies, particularly within the Region of the Asian Development Bank, as well as United Nations Development Programme, the Food and Agriculture Organization, the World Bank, and bilateral assistance agencies, have been supporting a range of initiatives covering some of the above topics. Examples of several forest conservation and development projects financed by the World Bank are given in Tables 44–1 and 44–2.

Greater support is needed from the development agencies to set aside specific tracts of natural forests as protected areas or national parks as an integral part of their agriculture and forest lending policies. To date, the majority of such aid-agency schemes have been project-oriented, affecting one small part of the overall problem and often confined to a small geographic region. To play a more effective role in this area, the development agencies need to shift toward better-coordinated lending programs incorporating policy measures such as those cited above as a condition of their development aid support.


FAO/UNEP (Food and Agriculture Organization/United Nations Environment Program). 1981. Tropical Forests Resources Assessment Project: Tropical Africa, Tropical Asia, Tropical America. Food and Agriculture Organization of the United Nations, Rome. 3 volumes.

WRI (World Resources Institute), The World Bank, and United Nations Development Programme. 1985. Tropical Forests: A Call for Action. World Resources Institute, Washington, D.C. 3 vols.

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