Palau's economy is projected to become increasingly dependent on tourism that is rising by 30% every year, making new tourism infrastructure and service industries a neccesity. Agriculture and fisheries, even though contributing barely 4% to Gross Domestic Product (GDP) continues to provide the main livelihood for about 20% of Palau's population. Local food security is a national priority, given the heavy reliance on food imports, and these three sectors - agriculture, fisheries and tourism - are now growing in line with Palau's national development policies and plans. However, increasing tourism, agriculture and fisheries development activities are placing pressure on the country's natural resources and biodiversity. The rich terrestrial and marine natural resources on which these three sectors depend on, are especially vulnerable to such pressures. 

The project aims to address the negative impacts of unsustainable sector-led development practices on the country's biodiversity-rich landscapes including its productive coastal and marine ecosystems. It will also take into account the country's climate change adaptation needs, its inclusive and equitable social and economic development for dependent communities, and the need to safeguard its biodiversity against threats and Invasive Alien Species. The objective of the project is to mainstream biodiversity conservation into integrated land and seascape governance, planning and management in Palau. 

The project recognizes the fact that these land and seascapes underpin the lives and livelihoods of a large number of local communities and that implementation of a coherent strategy to promote sustainable, biodiversity-friendly livelihood options is an integral part of the solution. The project objective is to be achieved through the implementation of four inter-related and mutually complementary components that are focused on addressing existing barriers. The four components are: 

1. Enhanced national institutional framework for integrated planning and management of land and seascapes; 
2. Integrated multi-sector land and seascape planning and management operational in Babeldaob states to reduce threats to biodiversity and improve ecosystem services to benefit communities and state economies; 
3. Integrated multi-sector planning and management operational in 264,686 ha of seascapes and coastal areas in the Southern Lagoon to reduce threats to biodiversity and improve ecosystem services to benefit communities and state economies; and 
4. Knowledge management, monitoring and evaluation support, equitable gender benefits and biodiversity conservation in Palau.