How climate action and carbon credits are driving economic growth in the Rwenzori landscape

What the report says

The Independent Uganda reports that climate finance and carbon-credit work are reshaping livelihoods in Uganda’s Rwenzori Mountains landscape, where the Environmental Conservation Trust of Uganda (ECOTRUST) has supported more than 31,000 smallholder farmers across Kasese, Bundibugyo, Kyenjojo and Kabarole districts. The article says the Trees for Global Benefit programme expanded into the area in 2012, starting in Kasese and growing from a small group of farmers into a much larger network.

According to the report, farmers in Kyarumba and surrounding communities have used the programme to diversify incomes through tree planting, agroforestry, coffee processing, beekeeping and savings groups. The Kyarumba Banywani Tree Farmers Cooperative and its registered SACCO now provide savings, credit and other financial services, with carbon contracts used as collateral in some cases. The piece says members also receive training in sustainable farming and livestock management, while pulping machines supplied through the partnership have helped them sell higher-value parchment coffee.

The report also highlights social investments funded through the cooperative, including a community clinic that opened on 1 July 2024 and offers subsidized care to members. Local leaders quoted in the article say early skepticism gave way to wider participation after community sensitization efforts. Beyond the economic benefits, the article links the programme to environmental gains such as reduced soil erosion, improved rainfall patterns and healthier farmland.

More broadly, the story shows how carbon-credit projects can combine conservation with rural development when they are tied to local institutions and farmer-led enterprises.