The general objective of FONAFIFO (National Forestry Financing Fund) is to finance small and medium producers, by means of credits or other promotional mechanisms, for the handling of forests, the processes of reforestation, forestation, greenhouses, agro forestry systems, the recovery of deforested areas and the use of technological changes and industrialization of forest resources.
FONAFIFO was established by the Forestry Law No. 7575, published on April 6, 1996. It develops as a decentralization institution of the Environment, Energy and Telecommunications Ministry to interact and negotiate with various national and international institutions.
Environmental Services Payment Program (PPSA): This is the financial payment that the Government gives, via FOONAFIFO, to owners of forests and forestry plantations for their environmental services which facilitates the protection and betterment of the environment. Under Law No. 7575, Costa Rica recognizes the following environmental services:
- Reduction of gas emissions that produce the greenhouse effect.
- Protection of water resources.
- Protection of biodiversity.
- Protection of scenic natural beauty.
PPSA resulted in the following global impact. From 1997 when the program started, until 2008: Some 652,000 hectares have adopted the PPSA. This represents $190,000,000.00 US in financial resources which benefit approximately 8,000 families from rural and less developed areas.
For more information: www.fonafifo.com |
