Carbon markets and climate finance payments are being used to incentivize the mitigation of CO 2 arising from anthropogenic land-use change in forests, marine ecosystems, and lowland grasslands. However, no such consideration has been given to how these 'carbon finance incentives' might be applied to mountain grasslands and shrublands, ecosystems that contain a substantial amount of carbon. These incentives amount to more than US$350 billion per annum and could potentially support underfunded natural resource management (NRM) activities, which are urgently needed to address numerous stressors impacting these important ecosystems. In the mountain context, NRM activities could include adaptive grazing management, sustainable cropping, ecosystem preservation, ecosystem restoration, and engineered soil conservation measures. This article investigates the stressors, challenges, and priorities related to the NRM of carbon stocks in mountain grasslands and shrublands; why carbon markets and climate finance have not yet been utilized in this context; and, what is required to position mountainbased NRM activities as eligible for carbon finance incentives. Using surveys and interviews triangulated with a systematic literature review, the study found that carbon finance incentives are not well understood, both amongst mountain-focused experts and in the literature. The study also found the required technical methodologies, policy frameworks, and data to be largely undeveloped. This article proposes a top-down conceptual policy framework that can be used to develop key 'enabling factors' with the view of extending the eligibility of carbon markets and climate finance to NRM activities undertaken in mountain grasslands and shrublands in the same way that has been afforded to other ecosystems. Policy relevanceThis is the first study to explicitly highlight the important role that the mountain grasslands and shrublands might play in international climate policy, and how carbon finance mechanisms might support better NRM in these areas. It is also the first to investigate why these incentives have not been adopted thus far. The article concludes by proposing a novel top-down 'carbon incentive enabling' framework that could be driven by governments and mountain development focused organizations so as to capture some of the opportunities offered by carbon-based incentives, and help meet international climate policy objectives.

Climate change, increasing natural disasters, food and energy crises, population growth, water scarcity and desertification, loss of biodiversity, degradation of ecosystems, migration, and growth of cities -the planet is currently facing a multitude of challenges. Mountain regions and their inhabitants are disproportionally affected, but also offer significant opportunities for solutions.By providing key environmental services such as freshwater, biodiversity conservation and hydropower to more than half of humanity, mountain ecosystems play a critical role in world development. Mountain systems are essential building blocks for long-term sustainable global development, poverty alleviation and the transition to a green economy. In a world heading towards water, food and energy crisis, sustainable mountain development is a global priority.i Why invest in sustainable mountain development?Mountain people, who are among the world's poorest and hungriest, are key to maintaining mountain ecosystems and their role in providing environmental services to downstream communities. Mountain communities need to be empowered and their livelihoods improved, to enable them to take responsibility for the preservation of natural resources and to fulfil their role as mountain stewards.In spite of the obvious importance of mountain areas, sustainable mountain development does not receive the attention and priority it deserves. Investing in sustainable mountain development is a global priority for addressing the current challenges. It reaches far beyond monetary terms to embrace increased attention to and support in all aspects of mountain ecology and society. F O O D A N D A G R I C U L T U R E O R G A N I Z A T I O N O F T H E U N I T E D N A T I O N S -R O M E , 2 0 11 WHY INVEST IN SUSTAINABLE MOUN TAIN DE V ELOPMEN T ?The designations employed and the presentation of material in this information product do not imply the expression of any opinion whatsoever on the part of the Food and Agriculture Organization of the United Nations (FAO) concerning the legal or development status of any country, territory, city or area or of its authorities, or concerning the delimitation of its frontiers or boundaries. The mention of specific companies or products of manufacturers, whether or not these have been patented, does not imply that these have been endorsed or recommended by FAO in preference to others of a similar nature that are not mentioned. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 CONTACTS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Because of the importance of mountains and the many services they provide, sustainable mountain development does not only regard mountain communities, but is a global concern

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