Carbon financing has emerged as an important mechanism for promoting climate mitigation, forest conservation, and sustainable development. This study examines the Environmental and Socio-economic Sustainability of Carbon Financing Initiatives in Zambia’s Luangwa Valley, focusing on the Luangwa Community Forest Project, a regionally significant REDD+ initiative implemented in a biodiversity-rich area facing increasing ecological pressure. The study evaluates the project’s contribution to forest conservation, biodiversity protection, livelihood improvement, and community development, while identifying implementation challenges affecting long-term sustainability. Using a mixed-methods approach, data was collected through household surveys, focus group discussions, and semi-structured interviews with community members, carbon trading companies, conservation organizations, and government officials. Findings indicate that the LCFP contributes to reduced deforestation, habitat restoration, wildlife recovery, employment creation, livelihood diversification, and improved community infrastructure. However, concerns remain regarding governance weaknesses, uneven benefit distribution, land-use conflicts, human-wildlife conflict, and the depth of community participation. The study shows that carbon financing can support both environmental and socio-economic goals when guided by transparent governance, equitable benefit-sharing, and active local involvement. It recommends stronger institutional coordination, inclusive decision-making, and adaptive conservation strategies to enhance sustainable outcomes in the Luangwa Valley.

Lelani Njobvu, Dr. Allan Tembo,"Environmental and Socio-Economic Sustainability of Carbon Financing Projects; A Case Study of the Luangwa Community Forest Project (LCFP) in Mambwe District, Zambia" International Journal of Advanced Multidisciplinary Research and Educational Development, V2(5): Page(1036-1047) September - October 2026. ISSN: 3107-6513. www.ijamred.com. Published by Scientific and Academic Research Publishing.