Restoring and managing natural capital towards fostering economic development: Evidence from the Drakensberg, South Africa

Addressing the question, the study develops an integrated hydrology-ecology-economic model based on the functional relationships between these three aspects in managing and restoring the natural capital of the two study areas. It was found that the benefits of introducing improved management practices exceeds cost in low to medium degraded quinaries, but not in heavily degraded quinaries. The economic return on the water (baseflow) produced by such a system of improved land use management, however, far exceeds that of conventional (construction-based) water development programmes and offers meaningful economic and market development opportunities.