Sustainable forest management (SFM) has long been central to GEF’s work, yet its environmental and socioeconomic benefits had not been systematically evaluated.

This study fills that gap through the first value-for-money analysis of SFM interventions across the portfolio. Using geospatial project data, satellite indicators of land cover and carbon storage, and nighttime lights as a proxy for socioeconomic change, the analysis applies a quasi-experimental approach to assess results.

Findings show that SFM projects help reduce deforestation, enhance vegetation density, and increase carbon sequestration, with gains that can offset average project costs within a few years.

Projects located in areas with high deforestation risk deliver stronger environmental outcomes, but because these areas are often remote and economically marginal, they generate only limited socioeconomic co-benefits at the portfolio level. A country case study in Uganda, however, shows stronger local effects, with households near project sites experiencing measurable asset gains. The evaluation also notes trade-offs between environmental and socioeconomic outcomes, pointing to the need for integrated approaches.

The report recommends improving geospatial targeting, strengthening monitoring systems, and scaling programmatic SFM approaches to align global benefits with local development needs.