After considerable review of empirical data and evaluation analyses, the World Bank, the African Development Bank and other agencies came to the conclusion that people living in protected areas are made materially worse off and impoverished by the introduction of “restriction of access” to natural resources, enforced as part of conservation projects. This article describes and discusses a significant recent policy revision and development, adopted by the multilateral development banks as a response to that understanding, which has direct relevance for international conservation activities.