Overview : United Nations Capital Development Fund (UNCDF) is the UN agency mandated to focus primarily on the world’s Least Developed Countries (LDCs). It creates new opportunities for poor people and their communities by increasing A2F and investment capital. UNCDF focuses on Africa and the poorest countries of Asia, with a special commitment to countries emerging from conflict and crisis. It provides seed capital – grants and loans – and technical support to help financial service providers reach more poor households, and small business through inclusive finance approach, and local governments finance the capital investments that would improve poor peoples’ lives. UNCDF has signed an agreement with Nepal Rastra Bank, under the broader UNNATI Inclusive Growth Program agreement signed between the Government of Denmark and the Government of Nepal, where NRB is implementing Access to Finance (A2F) component of UNNATI Growth Programme in the seven hilly districts of Mechi and Koshi corridor – Taplejung, Panchthar, Ilam, Dhankuta, Terhathum, Bhojpur, and Sankhuwasabha with the assistance of UNCDF. This programme has been designed basically to enhance and improve agricultural sector financing in Nepal. The objective of UNNATI is “promotion of sustainable inclusive growth that reduces poverty and raises living standards”. Within the context of UNNATI, the purpose of A2F Project is to support financial service providers to more effectively serve the agricultural value chain actors with appropriate financial products thereby enabling smallholder farmers and MSMEs to invest into their value chain activities leading to the sustained improvement in competitiveness of selected value chains. The A2F project interventions have national impact with a specific focus given to the Eastern Development Region (EDR) of Nepal. |