Abstract

Agroforestry plays a vital role in enhancing environmental sustainability, improving local economies, and reducing poverty through livelihood resilience. Several researchers have studied the importance of agroforestry, but little attention has been paid to livelihood resilience and local economic development in developing countries. This study aims to find the role of small-scale agroforestry in local economic development in the Shangla and Swat districts of Khyber Pakhtunkhwa (KPK) Province, Pakistan. In this study, a total of 350 quantitative household surveys, 12 qualitative household case studies, and interviews of experts are used. The ordinary least squares (OLS), linear regression model, household income, wealth index, and five capitals of sustainable livelihood approach (SLA) were used to measure livelihood resilience. Results show several significant findings which may apply on a larger scale and in other cities of Pakistan or other countries. First, it directly shows the association between agroforestry, resilience-building, and local economic development. Second, financial capital can be improved through agroforestry, which can improve other capital assets. Third, small-scale agroforestry brings non-financial benefits such as environmental sustainability, improved living standards, reduced soil erosion, and provided shade. Fourth, irrigation plays a vital role in building livelihood resilience and promoting agroforestry. Lastly, on-farm diversity can be improved through agroforestry. This research discusses several practical implications along with recommendations for future research.

Highlights

  • Climate change and environmental degradation are rapidly becoming important global issues, creating severe challenges for local people and international development organizations

  • This study examined various prospects of small-scale agroforestry that contribute to local economic development, livelihood, poverty reduction, and the crucial roles that agroforestry plays in the economic development of the KPK province of Pakistan, with specific reference to the Shangla and Swat districts (See Figure 1)

  • This study assesses the impact of small-scale agroforestry on local economic development and livelihoods for selected districts in KPK, Pakistan

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Summary

Introduction

Climate change and environmental degradation are rapidly becoming important global issues, creating severe challenges for local people and international development organizations. It is essential to establish a robust framework of local economic development and livelihood resilience to preserve economic, political, environmental, and social sustainability. Pakistan is an agricultural-based country with 21% of GDP and 43.7% of employment made up of the agriculture sector, which have about 47.03% agriculture land percentage of total land [1,2]. A study of MOA Finance [3] revealed that approximately 9% of total exports are supported by agriculture, showing a positive impact on economic growth. The Pakistani agriculture sector encounters constraints from developed countries due to inadequate quality, poor supply chain management methods, and worldwide market rivalry [4]

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