India’s forests are facing immense pressure due to unsustainable use of forest produce. Poverty and forest degradation are inextricably linked and curbing forest degradation requires convergence of various poverty alleviation policies and schemes. The role of local communities is vital in not only addressing the drivers of forest degradation but also enhancing carbon stock through conservation, protection, and reforestation. The carbon stock of Indian forests in 2004 has been estimated by the Forest Survey of India (FSI) to be 6,663 metric tonnes. Carbon stock in India’s Forests has increased by 592 metric tonnes between 1994 and 2004, but it can be increased significantly through the involvement of local communities. The institutional mechanism for REDD+ will leverage on the strengths of the existing forest management system in the country while also ensuring sectoral integration and inter-departmental coordination to address some of the key drivers of deforestation and forest degradation in the country.