A prerequisite for the sustainability of protected areas in Africa is the meaningful inclusion of local populations in conservation and tourism. This has been demonstrated in numerous destinations where communities receive benefits from tourism in terrestrial protected areas, they are more inclined to view it positively and conserve natural resources. This paper presents a review of revenue-sharing literature, and also an analysis of the evidence of quantified benefits accrued by local communities in Africa through institutional arrangements to share revenue or finance development projects by (1) protected areas, and (2) tourism enterprises. The review highlights the challenges of revenue sharing as well as four key components of successful revenue-sharing systems: (1) economic benefits must be clearly identified and communicated, (2) benefits are appropriate to the scale of threats to biodiversity, (3) involvement of communities in decision-making on the structure and process of the distribution system, and also how the revenues are used and (4) sufficient regulatory and institutional support is necessary to develop clear objectives, aims, goals and responsibilities. This paper constitutes the first multi-country, multi-scheme analysis of revenue sharing in terrestrial African protected areas. [ABSTRACT FROM AUTHOR]