Poverty Alleviation Fund Project II

This project is one of a number of community-based interventions designed to introduce rapid development changes in poor, remote areas of Nepal. In the wake of the country's peace process and agreements reached between its political parties, the government has made a new commitment to address inequality and poverty among the population.

The principal goal of the project's second phase, funded by a Debt Sustainability Framework (DSF) grant in partnership with the World Bank, is to address the interrelated problems of rural poverty and social exclusion. The Poverty Alleviation Fund supports efforts to empower poor and disadvantaged people throughout the country and improve their living conditions and livelihoods.

Groups that traditionally have been marginalized for reasons of gender, ethnicity, caste and location are the focus of the project. The pilot phase was first implemented in 6 districts and then extended to an additional 19. A further expansion of the project has covered 15 more districts, bringing its total coverage to 40 districts. The project helps to:

• Build the capacity of local grassroots organizations
• Develop community infrastructure such as small-scale irrigation, access roads and bridges
• Improve water supply, sanitation, education and health services
• Create income-generation opportunities for the poorest and most excluded groups.

Source: IFAD