Improving access of smallholder farmers to risk management tools such as index-based insurance, is another means of protecting their livelihoods from climate and weather-related shocks. It is estimated that global forests sequestered an average of about 4 billion tons of carbon per year during the period 1990-2007, which amounts to 60 per cent of fossil emissions during this period (Pan et al., In addition to their crucial role in regulating the earth’s climate, forests also provide essential ecosystem services, including water regulation and retention, soil stabilization and habitat for biodiversity.