The Mexico Environmental Services Project aims to improve water quality, biodiversity, and carbon sequestration from areas with globally significant biodiversity. Eight pilot sites will be chosen to overlap with existing high-priority biodiversity conservation areas. The project objectives will be met through "(i) strengthening the capacity of CONAFOR, INE, community associations, and NGOs to increase flexibility and improve efficiency of existing service provision to support long-term development of the PSAH program in Mexico; (ii) establishing sustainable long-term financing mechanisms including an endowment fund for biodiversity conservation; (iii) establishing legal, institutional, and financial arrangements to pilot market-based mechanisms for payment for environmental services, (iv) documenting links between land use changes, water services improvements, and biodiversity conservation, and (v) defining good practices to replicate, scale up, and sustain programs based on PES markets." (excerpt from Project Executive Summary)