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The IRM found that the Bio-CLIMA project in Nicaragua failed to comply with GCF safeguards regarding conflict sensitivity, human rights due diligence, and informed consultation and participation (ICP). Specifically, the project did not adequately assess recurrent violent conflicts between indigenous communities and non-indigenous settlers, nor did it conduct meaningful consultations on key project components like Peaceful Co-habitation Regime Agreements (PCRAs). The IRM warns that the current design may reward illegal land occupation and exacerbate violence. It recommends conducting a macro-level conflict sensitivity analysis, a human rights due diligence report, and a framework-level ICP process before any project activities commence.