The application of sound M&E frameworks for each finance solution is imperative to ensure that they achieve their set objectives and measure financial and non-financial performance. Each solution should include an M&E plan, with clear finance targets and milestones.
Despite the great variety among the structure, sources and governance of the different solutions that exist, we recognize several generic M&E principles as vital guidance.
The following questions are generic in nature and can be adapted for a specific finance solution, and complemented by other relevant queries:
Are all operational procedures clearly defined and respected?
Do the required governing mechanisms operate as planned?
Are appropriate communication channels in place to inform stakeholders about the use of the funds?
Is there sufficient capacity to implement the finance solution? Is the right profile of team members available?
Are any gaps observed in terms of the national legislation, regulations and bylaws, terms of reference or other legal documents that are not included in the finance solution?
To what extent are funds or savings really allocated towards biodiversity objectives?
Did any barriers emerge in disbursing/collecting the required finance?
Are accountability and grievance mechanisms (e.g. auditing, inspections) operational?
Are effective M&E systems in place?
Are proper social and environmental safeguards in place? Are the rights of indigenous groups and other local communities affected?
Is the solution informed by gender analysis and are gender-positive outcomes being achieved?
Are any other aspects observed that prevent the solution from succeeding? How can they be remediated?
Are there mechanisms in place to guarantee long-term sustainability, scaling up or replication?
Box 7.6: Selected Resource Documents on Monitoring and Evaluating Specific Finance Solutions
Box 7.7: M&E Framework for Finance Solutions: Sample Indicators
Estimated future finance flows: