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The article discusses the relationship between conceptions of forest values among local people in Madagascar and human capabilities. According to Amartya Sen's capability approach, capabilities include both the means of maintaining a livelihood and intangible elements that are necessary to achieve overall well-being. In a qualitative case study in Madagascar's Mananara-Nord and Sahamalaza Biosphere Reserves, we investigated local peoplesâ conceptions of forest values. Our analysis revealed that forest-value categories fall under a range of ecosystem services and are therefore clustered accordingly. The distinction between instrumental and intrinsic values indicates the broad spectrum on which local people conceive the benefits they derive from the forest. This article discusses the interconnection between instrumental and intrinsic forms of forest value and the important role played by intrinsic values in promoting well-being and conservation. It also addresses the nature of the capabilities that are based on the perceived forest values. Two conclusions are drawn. First, local population's views on valuable natural elements serve to indicate what they consider important for the achievement of well-being. Second, capabilities based on such natural values are vital for their collective sense of sustainable development and need to be given greater consideration in sustainable natural resource and land management.