# Unconditional Basic Income Pilot Protects Amazon Rainforest in Peru Direct cash transfers to Indigenous communities reduce deforestation and improve local food security. - **Source:** [Environment | The Guardian](https://www.theguardian.com/uk/environment) - **Published:** 2026-10-20 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/9d3bc59c-0618-443f-84fb-4397d9940fac ## Pilot Project Overview A two-year pilot program managed by the UK-based charity Cool Earth provided 211 individuals in Peru’s Asháninka region with unconditional cash transfers. Participants received six payments of 1,032 Peruvian soles, equivalent to approximately £2 per day. This initiative aimed to test the impact of direct financial support on local environmental conservation efforts. ## Environmental Impact Results Researchers observed that nearly 90% of participants adopted environmentally beneficial practices during the trial. Key activities included collective reforestation efforts, the restoration of critical water sources, and significant reductions in forest burning. These actions demonstrate how financial stability can empower local communities to actively manage and protect their surrounding forest ecosystems effectively. ## Socioeconomic Stability Gains The project significantly improved local living conditions, with households unable to afford nutritious food dropping from 73% to 26%. Furthermore, migration rates fell as the share of participants forced to leave their homes for work decreased from 43% to 18%. This stability allowed more residents to remain and protect the forest. ## Shift in Conservation Strategy Unlike traditional payment schemes like Brazil’s Bolsa Verde, which impose strict conservation requirements, this project offered unconditional support. By removing strings attached to funding, the model emphasizes dignity and autonomy. This approach contrasts sharply with historical colonial conservation policies, potentially offering a more ethical framework for supporting Indigenous stewardship of vital biomes. ## Complementary Educational Programs To maximize the project's impact, organizers implemented a voluntary 'cash plus' program alongside the financial transfers. This initiative provided community-led education focused on finance, conservation, and climate change. By combining direct income with knowledge sharing, the project aimed to foster long-term sustainable practices among the participating Indigenous families and local community groups. ## Academic and Regional Skepticism Some academics remain cautious, noting that cash transfers in other regions have occasionally led to increased deforestation. In certain Amazonian areas, extra income has funded motorbikes and cars, inadvertently driving demand for new roads. These concerns highlight the complexity of linking financial incentives with environmental outcomes across diverse and geographically distinct indigenous territories. ## Study Scope and Limitations The two-year study covered approximately 500 hectares of forest, representing a relatively small experimental scale. Researchers acknowledged that they did not measure specific changes in soil quality or vegetation density. Additionally, the analysis could not fully account for the influence of separate, concurrent projects that might have also impacted community behaviors. ## Future of Conservation Funding Despite limitations, the project has generated significant interest within the cash-for-conservation network. Lead author Dr. Neil Howard suggests that while larger trials are necessary, the pilot provides a pioneering model for balancing scale with innovation. The findings contribute to the ongoing global debate regarding how to effectively reward Indigenous stewardship of carbon-sequestering ecosystems. ## Sources covering this story - https://www.theguardian.com/environment/2026/oct/20/unconditional-basic-income-amazon-rainforest-peru-study — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._