Ecosystems, poverty alleviation and conditional transfers

Social conditional transfers (CTs) and payments for ecosystem services (PES) have the same starting point: the assumption that direct, conditional incentives are the most effective way to change behaviour. However, contextual disadvantages affect the capacity for the very poor to comply. Recognising this is important in the design of inclusive, pro-poor instruments. Draw lessons from experiences that have achieved scale by moving beyond pilots or projects into established programmes. Successful CT/PES schemes exhibit a series of enabling conditions: high level political support, sustainable financing streams, lean institutional set-ups, tools and systems for effective implementation, and a clear ability to demonstrate impact.