·PIB·15 marks·250–350 wordsGeography

Discuss the significance of diversified, adequate, predictable and sustained international finance for achieving Land Degradation Neutrality. Examine India's domestic financing mechanisms in this context.

In this answer
  1. Why DAPS finance is significant for LDN
  2. India's domestic financing mechanisms — an examination

Land Degradation Neutrality (LDN), the UNCCD's core target, requires restoration at a scale no single budget line can carry. At CoP17, Ulaanbaatar (2026) [2], India therefore pressed for diversified, adequate, predictable and sustained (DAPS) international finance for land restoration and drought resilience [1].

Why DAPS finance is significant for LDN

  • Adequacy: restoring degraded land globally demands investment far beyond current flows; under-funded pledges remain declarations rather than hectares restored.
  • Predictability: soil regeneration, afforestation and watershed works mature over decades, so multi-year assured flows, not episodic grants, decide whether gains survive.
  • Diversification: blending public budgets, concessional finance and private capital spreads risk and reaches drylands that markets otherwise ignore; India explicitly sought resources "beyond public budgets" [1].
  • Sustained flows underpin drought resilience, an anticipatory function that collapses if funding is withdrawn after a crisis passes.
  • Equity: as a Global South demand, it reflects common but differentiated responsibilities, since degradation burdens fall on the poorest farmers and pastoralists.

India's domestic financing mechanisms — an examination

  • Green Credit Programme: a market-linked incentive rewarding voluntary restoration, illustrating diversification beyond budgetary spending [1].
  • Compensatory afforestation funds under the Compensatory Afforestation Fund Act, 2016, channel levies and net present value payments into afforestation through national and state authorities [4].
  • Green India Mission under the NAPCC provides the programmatic vehicle for restoration [1].
  • These support India's pledge to restore 26 million hectares by 2030 [3], but face limits: fiscal space, absorption and utilisation gaps, and afforestation-centric design that under-serves grasslands.
  • Hence India's position that domestic resources supplement, not substitute international finance, which must be "continuous, verifiable and connected to local communities" [1].

India's stance thus links a credible domestic record with a legitimate international claim. Going forward, blended finance instruments, transparent monitoring and community-linked delivery can convert LDN pledges into measurable restoration, advancing SDG 15.3 and India's own ecological security.

Sources

  1. 1India calls for Diversified, Adequate, Predictable and Sustained International Finance for Land Restoration and Drought Resilience at UNCCD CoP17 — Press Information Bureau, MoEFCCIndia's CoP17 statement; Green Credit Programme, compensatory afforestation funds, Green India Mission; finance "continuous, verifiable and connected to local communities" *(exact release page not directly retrievable; PIB domain root cited)*
  2. 2UNCCD COP17, Ulaanbaatar, MongoliaCoP17 venue and mandate on land restoration and drought
  3. 3India Will Restore 26 Million Hectares of Degraded Land by 2030 — PIBIndia's enhanced land restoration pledge
  4. 4The Compensatory Afforestation Fund Bill/Act, 2016 — PRS Legislative Researchnational and state funds, NPV payments, management authorities

More from this note

More on Geography