Ihefu Wetlands is an important ecosystem to the local community, and the national economy – 65% of national hydropower is generated from waters originating from this area – as well as global biodiversity. The Economic Valuation of Ihefu Wetlands was carried out under the UNDP/UNEP Poverty and Environment Initiative Tanzania Programme (2007 – 2010) which focuses on “Integrating Environment into National Strategy for Growth and the Reduction of Poverty (NSGRP/MKUKUTA) Implementation”.
The study assessed the economic value of wetlands linked to community welfare and livelihoods. The study applied partial valuation techniques, socio-economic surveys, and literature reviews to identify livelihood activities supported by natural resources in Ihefu and levels of dependence on these resources.