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Mitigating unintended local economic impacts of the compensation scheme for hilsa management

Management of Bangladesh’s hilsa fishery is moving from regulatory regimes that often ignore the short-term cost imposed on fishers to an approach that combines regulations with incentives or compensation packages. This approach offers a major breakthrough, but needs careful design to minimise, and where possible eliminate, unintended negative socioeconomic consequences beyond the fishery. Even though unintended local impacts are often short term or seasonal, their effect on vulnerable and less resilient communities can be significant. This briefing discusses the hilsa fishery and suggests ways to ensure management through seasonal closures does not damage other aspects of the local economy.

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