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 (RMG) 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 need.
Expected Result:
Major Achievements:
| Date | Title |
|---|---|
| The project successfully implemented the financial management component of the Immediate UN Response for Coherent Safeguarding the Livelihoods of People Made Most Vulnerable by COVID-19 in Nepal across 10 districts of Lumbini Province, ensuring transparent, timely, and accountable wage payments to Road Maintenance Group (RMG) members during the COVID-19 pandemic. | |
| During the project period, 10 Road Maintenance Groups (RMGs) were established, and contractual agreements were signed with the respective groups based on the recommendations of the Team Leader (TL)/Senior Road Rehabilitation and Maintenance Engineer (SRRME). The project collected and verified detailed information for 265 RMG members, facilitated the establishment of 10 RMG group bank accounts, and supported the opening or updating of 264 individual bank accounts to ensure secure and transparent wage payments through the formal banking system. | |
| The project also facilitated COVID-19 and accidental insurance coverage for all 265 RMG members, effective from 15 September to 30 November 2020, thereby enhancing the social protection and occupational safety of road maintenance workers during the pandemic. | |
| Based on monthly work performance evaluations and certifications by the TL/SRRME, the project transferred a total of NRs. 10,570,053.28 in wages directly to the individual bank accounts of 264 RMG members, including 110 males and 154 females. In addition, NRs. 103,051.67 was provided for tools sharpening and maintenance, enabling the Road Maintenance Groups to maintain their equipment and carry out routine road maintenance activities efficiently. | |
| The project maintained a high standard of financial accountability by preparing and submitting monthly financial reports, payment vouchers, bank statements, and other supporting documents to the International Labour Organization (ILO) and the TL/SRRME, in compliance with the prevailing Government of Nepal regulations. Close coordination with partner banks ensured timely wage disbursement, prompt resolution of banking issues, and uninterrupted financial transactions throughout the project period. | |
| Overall, the project made a significant contribution to safeguarding the livelihoods of vulnerable rural households by ensuring timely wage payments, promoting financial inclusion through individual bank accounts, providing insurance coverage for road maintenance workers, and strengthening transparent financial management systems for community-based road maintenance across 10 districts of Lumbini Province. |
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.
