This document is the result of efforts by the DAC Working Party on Development Co- operation and Environment to clarify the key linkages between poverty and environmental degradation, with special attention paid to their gender dimension - and the policy implications at the local, sectoral and national levels. The objective is not to provide a comprehensive coverage of all pertinent issues, but to provide an analytical road-map which could be used as reference for more detailed sector and country-specific examinations. As such, the document complements other recent DAC Work in the area of poverty and sustainable Development and in particular the recent DAC Guidelines on Poverty Reduction.