Immediate UN Response for coherent safeguarding the livelihoods of people made most vulnerable by COVID-19 in Nepal

Immediate UN Response for coherent safeguarding the livelihoods of people made most vulnerable by COVID-19 in Nepal

Project Summary:

COVID-19 has exacted a heavy socioeconomic cost in Nepal. The country wide lockdown started on 24th March closed all factories, enterprises, and centres of production. Supply chains, domestic and international, have been disrupted including food systems. The lock down has limited the spread of contamination by COVID-19, but it has had an adverse effect on people with limited income and livelihood opportunities, many not covered by social safety nets, as well as exacerbating existing vulnerabilities. An immediate economic impact was seen in that IMF’s World Economic Outlook 2020 predicts that Nepal’s GDP growth will slip from 7.1% in 2019 to 2.5% in 2020. An estimation done by ILO Country Office for Nepal using Nepal Labour Force Survey 2017/18 data showed that 2 million workers could have lost their jobs due to the crisis.

About 250,000-300,000 migrant workers are estimated to be returning from Gulf countries with another 500,000 Nepali migrant workers in India reported to have returned back. This is expected to not only add an additional burden to an already depressed labour market but enact a social cost that sees particularly vulnerable segments of labour force and community affected more than others. The United Nations Multi-Partner Trust Fund (UN COVID 19 MPTF) is an inter-agency finance mechanism for supporting low and middle income countries respond to health and development crisis caused by the COVID-19 pandemic. ILO has mobilized this fund by leveraging existing programme to deliver an immediate response for coherent safeguarding the livelihoods of people made most vulnerable by COVID-19 in Nepal.

Objectives: Overall management of financial transaction to Road maintenance workers in their individual account as per monthly performance base work evaluation and certification by Team Leader/SRRME.

Key Activities:

  • Sign two party agreement between ILO and the Organization.
  • Sign contracts with Road Maintenance Groups (RMGs) in each district.
  • Facilitate the opening of RMG group bank account and ensure the update of individual bank accounts of RMG members.
  • Facilitate COVID-19 and accidental insurance for all RMG members.
  • Transfer wages of RMG workers into their individual bank account based on the recommendation and certification by TL/SRRME by the first week of each month. Ensure the verification and transparency of the payments in accordance to the prevailing government’s rules and regulation. Make transactions only through the recommendation by TL/SRRME. Ensured the wage payments through bank transfers only to the individual RMG’s bank account.
  • Prepare and submit the monthly financial report to TL/SRRME & ILO with all supporting documents such as vouchers, payment slips, bank statements and such.
  • Consult with ILO regarding the need of any additional levy required while transferring the fund from respective bank.
  • Maintain and establish effective communication, coordination and cooperation with banks ensuring the solving of dispute or obstruction in the fund transaction immediately.
  • Maintain inventory of the construction tools and PPE gears provided to the RMGs and keep them in check.
  • Provide required assistance to TL/SRRME as relevant and as per the

Expected Result:

Provide employment to 265 RMG in Lumbini Province for 3 months through Routine Maintenance of District Core Road Network (DRCN) under 10 Contracts.

Major Achievements:

  • 10 RMG were formed and RMG Contract agreements with 10 Road Maintenance Groups (RMGs) from 10 Ddistricts of Lumbini Province in the recommendation from Team Leader was completed.
  • Detailed information of 265 RMG members were obtained and creation and update of 10 RMG group bank accounts along with 264 RMG members’ individual bank accounts was facilitated.
  • Accidental and COVID-19 Insurance was carried out for all 265 RMG members effective from 15th September 2020 to 30th November 2020.
  • Support was provided to all of the RMG members for their livelihood improvement as per the recommendation by Team Leader (TL)/SRRME in the form of wage payment and tools sharpening and maintenance cost. The wage payment support was a total of NRs. 10,570,053.28 to 264 RBG members including 110 male 154 female and the tools sharpening and maintenance cost support was a total of NRs.103,051.67

The details of the payment is as follows:

No. of RBG

Wage Payment

(September, 2020 to November, 2020)

S.No. District No. of Road Male Female Total No. of RBG members involved in the work Wage payment Tools Sharpening & Maintenance Cost@1%
1 Palpa 5 25 20 45 45 1,982,594.76 19,825.94
2 Nawalparasi West 2 3 6 9 9 346,448.09 3,464.48
3 Rupandehi 5 9 20 29 29 1,063,072.90 10,630.73
4 Kapilvastu 5 10 16 26 26 848,453.04 8,484.53
5 Gulmi 3 12 15 27 27 1,202,321.46 12,023.21
6 Arghakhachi 3 14 12 26 26 1,255,800.00 12,558.00
7 Pyuthan 3 9 17 26 26 1,182,854.95 11,828.56
8 Dang 3 13 13 26 26 930,767.96 9,307.68
9 Banke 5 15 10 25 25 830,744.04 8,307.45
10 Bardiya 3 0 25 25 25 926,996.08 6,621.09
Total 264 10,570,053.28 103,051.67

Date Title

Project information

  • Geographic coverage 10 District of Lumbini Province
  • Project duration 3 months (8th September, 2020 to 30th November, 2020)
  • Project Location Nawalparasi West, Rupandehi , Kapilvastu, Palpa, Arghakhachi, Gulmi, Pyuthan, Dang, Banke and Bardiya District of Lumbini Province
  • Budget 12,169,719.00
  • Funding partner's International Labour Organization (ILO), Country Office for Nepal
  • Implementation Partner Road Maintenance Groups (RMGs)
  • Target groups 265 numbers of Road Maintenance Groups (RMGs) who have worked previously or strengthening the National Rural Transport Programme in Lumbini Province.
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