Money
Germany funds four community development projects in Nepal
The projects focus on empowering marginalised communities, improving livelihoods and strengthening social protection systems across several districts in Nepal.Post Report
The Embassy of the Federal Republic of Germany has signed cooperation agreements with multiple organisations to implement four development initiatives under the Embassy’s Small Grant Development Project 2026, with total funding of 86,330 euros.
The projects focus on empowering marginalised communities, improving livelihoods and strengthening social protection systems across several districts in Nepal.
One of the initiatives, Empowering Marginalized Women through Eco-Craft Skills and Cooperative Enterprise, will be implemented by Anurodh Nepal in Lahan Municipality of Siraha district. The project aims to empower marginalised Madheshi and Dalit women by training them in bamboo and banana-fibre eco-craft production, entrepreneurship and cooperative enterprise.
The programme also seeks to promote women’s economic independence, raise awareness to help reduce gender-based violence and establish a sustainable women-led cooperative to generate long-term livelihoods. The embassy is supporting the project with up to 13,860 euros.
Another initiative led by Nucleus for Empowerment through Skill Transfer (NEST) in Pokhara focuses on economically empowering women caregivers of persons with disabilities, mental illness and other vulnerable family members living in disadvantaged settlements in wards 2 and 8 of Pokhara Metropolitan City.
The project will establish cooperative-managed livelihood enterprises and provide skill development programmes. It will also set up small-scale production units such as sewing machine centres and beekeeping activities aimed at generating income and improving financial security for caregiving households. The embassy is contributing up to 24,300 euros to support the initiative.
The GreenRide to Prosperity project, implemented by Lakshyadeep, targets marginalised households in Ward 15 (Padariya Tole) of Itahari Sub-metropolitan City. The community largely comprises members of the Tharu, Risidev, Bishwakarma, Sah and other groups who struggle to meet basic needs.
Under the programme, selected beneficiaries will receive training in e-rickshaw driving, assistance in obtaining driving licences and support to access e-rickshaws, enabling vulnerable families to develop a stable source of income. The embassy has allocated up to 24,270 euros for the project.
Another project, implemented by the Lutheran World Federation Nepal, will support newly arrived refugees by providing food, shelter and protection services. The initiative also seeks to improve water, sanitation and hygiene facilities while enhancing refugees’ health, psychosocial well-being and livelihood resilience. The German Embassy is supporting the project with up to 23,900 euros.
Speaking on the initiative, German Ambassador Udo Eugen Volz said the small grants programme complements broader bilateral cooperation between Germany and Nepal.
“Germany and Nepal enjoy a strong partnership with many facets,” Volz said. “These new small-scale grants are designed to complement our larger government-to-government collaborations by investing in smaller projects that are rooted in local communities and built for long-term impact. They specifically target support for marginalised groups across Nepal.”




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