Category: News

The role, challenges and opportunities of climate finance in natural resource–based enterprises

Posted on by Sanjeev Gurung

Two-days’ workshop on “The role, challenges and opportunities of climate finance in natural resource–based enterprises” – प्राकृतिक स्रोतमा आधारित उद्यममा जलवायु वित्तको भूमिका, चुनौती र अवसर, was successfully held on 15th –16th January 2026 in Tripurasundari Rural Municipality and Barhabise Municipality, Sindhupalchowk respectively, under the Climate Action Financing through Women and Social Enterprise (CAFiN) project, an International Development Research Centre (International Development Research Centre (IDRC) funded initiative through Climate Policy Initiative (CPI).

The event brought together local governments, natural resource-based enterprises (preferably women led), banking and financial institutions, and market actors, creating a strong platform for dialogue and shared learning on climate finance.

Key Insights

  • – Climate finance is recognised as a crucial tool for supporting natural resource-based enterprises, yet direct application of climate finance codes at the municipal level is still limited.
  • – Women-led and forest/resource-based enterprises (e.g., nettle (sisnu), broom, coffee, lapsi candy, bamboo crafts, Nepali paper, NTFP processing) show high potential but need technical support, market linkages, and investment.
  • – Municipalities have demonstrated proactive commitment through budget allocations, nursery facilities, and provision of production land to support climate-smart enterprises.
  • – Strong collaboration between local governments, financial institutions, markets and entrepreneurs is essential for mobilising climate finance at local level and promoting sustainable, climate-resilient businesses.

 

Key Takeaways

  • – Awareness of climate finance among entrepreneurs and financial institutions remains low, though interest in leveraging these opportunities is growing.
  • – Capacity building and practical use of climate finance mechanisms are critical for enabling enterprises to thrive.
  • – Empowering women entrepreneurs and promoting locally viable natural resource-based products are essential for sustainable and inclusive economic development.
  • – Policy support, institutional coordination, and active engagement from entrepreneurs themselves are required to stabilize and grow the sector.
  • – Breakout group discussions and stakeholder commitments have strengthened understanding, coordination, and pathways for climate-resilient enterprise development at the local level.

From Reflection to Action: Community-Led Agroecology for Soil Restoration in Dhusa, Ichhakamana RM, Chitwan

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Dhusa, Ichhakamana Rural Municipality, Chitwan, is the current project site where ForestAction Nepal has been implementing the Soil Restoration through Agroecology initiative. After a year of sustained engagement with the community, an annual reflection meeting was held in the first week of January. A major outcome of this meeting was the formal formation of a Community Action Group (CAG) to advance agroecology-based soil restoration.

The CAG comprises nine core members (seven women and two men) from Dhusa, reflecting a strong community-led commitment to sustaining field-level experimentation, strengthening peer learning, and gradually expanding agroecology-based practices across the wider landscape. By centering farmers’ knowledge and lived experiences, the group aims to demonstrate how locally adapted agroecological practices can regenerate soils, reduce dependency on external inputs, and enhance long-term farm resilience.

Following its formation, a planning meeting was held on 13 January 2026 in the presence of ForestAction project team and CAG members. Grounded in the principles of Participatory Action Research and Learning (PAR), the project team facilitated discussions on the importance of co-learning and co-creating knowledge. CAG members shared their experiences of learning alongside fellow farmers and neighbors, with technical support from the team provided as needed. Members collectively agreed that learning through the adoption and practice of agroecological techniques at the community level would contribute to improved soil health while strengthening resilience and self-reliance.

The meeting also clarified the roles and responsibilities of both CAG members and the project team. In addition, CAG members were supported to independently document and maintain their own meeting minutes, further reinforcing local ownership and leadership.

The meeting further identified priority interventions for the next phase, including composting, vermicomposting, seed trials (cucumber and beans), mulching, green manuring, biopesticide preparation, and Azolla cultivation. Each participating farmer has committed a portion of their land for on-farm trials, reinforcing the principle of learning through practice and generating evidence under local conditions.

To support this process, ForestAction Nepal will provide technical assistance and facilitate access to essential inputs, including vermi worms and seeds from verified sources for trials and green manuring.

Through the CAG, agroecology is being promoted not only as a set of practices but also as a long-term pathway for soil restoration, farmer empowerment, and community-led transformation of local food systems.

Strengthening climate finance for natural resource–based enterprises at the local level

Posted on by Sanjeev Gurung

A one-day workshop on “The role, challenges and opportunities of climate finance in natural resource–based enterprises” – प्राकृतिक स्रोतमा आधारित उद्यममा जलवायु वित्तको भूमिका, चुनौती र अवसर, was successfully held on 4th–5th January 2026 in Devchuli and Gaidakot Municipalities, Nawalpur, under the Climate Action Financing through Women and Social Enterprise (CAFIN) project, an International Development Research Centre (International Development Research Centre (IDRC) funded initiative through Climate Policy Initiative (CPI).

The event brought together local governments, natural resource-based enterprises, banking & financial institutions, and market actors, creating a strong platform for dialogue and shared learning on climate finance.

Key Insights

  • – Climate finance code was introduced to Nepal’s budgetary system in 2012 as the first country to do so but its practical application has been a challenge.
  • – Municipal representatives shared that although direct climate finance coding is not yet practiced, several investments already contribute to adaptation and mitigation.
  • – Limited awareness and capacity remain major challenges in integrating climate finance into local planning and budgeting.

 

Key Takeaways

  • – Natural resources-based enterprises have strong resource and market potential but lack processing technologies and access to finance.
  • – Awareness on climate finance is low among entrepreneurs and banks, though interest and opportunities are growing.
  • – Capacity building, policy revision, and practical use of climate finance budget codes are crucial.
  • – Municipalities expressed readiness to collaborate on training and capacity development.

Ban Chautari on Forestry for Prosperity: Political Economy Debates

Posted on by Sanjeev Gurung

ForestAction Nepal, building on the more than 15-year legacy of Ban Chautari as a platform for policy dialogue, successfully organised a Ban Chautari titled “Forestry for Prosperity: Political Economy Debates” on Thursday, 8th January 2026. The high-level discussion, held in the presence of the Honorable Minister for the Ministry of Forest and Environment, focused on Nepal’s timber economy: its status, untapped potential, prevailing challenges, and possible pathways to bridge existing gaps.

The event brought together a diverse group of stakeholders, including representatives from the Ministry of Forest and Environment, Department of Forest and Soil Conservation, REDD Implementation Centre, Chure Terai Madhesh Conservation Board, Forest Research and Training Centre, Divisional Forest Offices, Tribhuvan University, Nepal Foresters’ Association, FECOFUN, FENFIT, AFFON, development partners, civil society organisations, local governments, entrepreneurs, and journalists.

A team of researchers from ForestAction Nepal presented an evidence-based analysis of the potential and actual production of timber and other forest products, drawing on data compiled and synthesized from 83 Divisional Forest Offices, 7 Provincial Forest Directorates, and 7 Provincial Forest Ministries across the country. The presentation highlighted the significant gap between production potential and actual output and unpacked the underlying political-economic and institutional factors contributing to this disparity.

The program featured an engaging panel discussion with panelists from the Government of Nepal, FECOFUN, FENFIT, AFFON, and Tribhuvan University reflecting on policy, governance, and market aspects of Nepal’s timber economy. To ensure wider outreach and promote evidence-based public dialogue, the discussion was telecast through national media and is scheduled to be broadcast by Yatri Media, taking the conversation beyond the venue to a broader national audience. The Honorable Minister shared reflections on ongoing policy and regulatory reforms, outlining measures adopted to reduce procedural and regulatory hurdles, improve institutional efficiency, and strengthen governance mechanisms to better realise Nepal’s forest-based economic potential.

Click here to access the video

Reflecting, Learning, and Expanding Agroecology Practices for Soil Restoration

Posted on by Sanjeev Gurung

After a year of field-level actions with the community, an annual review and reflection meeting was held on 1 January 2026 with the farming community in Dhusa, Ichhakamana Rural Municipality, Chitwan, where the community led Participatory Action Research (PAR) on agroecology is being implemented. The Dhusa community is composed primarily of Chepang and Gurung households. Approximately 30 farmers participated in the meeting, the majority of whom were women. Beyond reviewing completed activities, the meeting created space for farmers to reflect on their experiences, observations, and learning emerging from the agroecological practices tested over the year.

Ms. Daman Kumari Chepang, one of the lead farmers, shared a detailed reflection on the activities undertaken and described how her engagement in the process deepened her understanding of soil health and the long-term importance of soil restoration through agroecological practices. Her reflections stimulated wider discussion among participants, including community members who were not directly involved in field-level implementation but reported increased awareness and understanding of the ongoing work at the demonstration site. This highlighted how learning and knowledge sharing had extended beyond the immediate group of participating farmers.

The discussion surfaced key learnings related to the relevance of locally adapted practices, the value of integrating Indigenous farming knowledge with scientific agroecological techniques, and the importance of collective experimentation, observation, and reflection. Farmers expressed a growing sense of ownership over the process and emphasized the importance of continuing to learn together through shared practice.

As an outcome of this collective reflection, community members agreed to take the process forward by forming a Community Action Group (CAG) comprising nine core members, including 7 female and 2 male farmers. This group represents a shared commitment to sustain experimentation, strengthen peer learning, and gradually expand agroecology-based soil restoration practices across the wider community.

Following the meeting, participants visited the demonstration site to observe progress and outcomes firsthand.

The presence of Ms Samikchya Poudel (the Head of the Agriculture Section of Ichhakamana RM) further enriched the discussion by connecting community-level learning with local government perspectives, reinforcing opportunities for institutional support and enhancing the long-term sustainability of the initiative.

 

 

 

Leadership training on restoration for community leaders

Posted on by Sanjeev Gurung

A four days leadership training for restoration champions was successfully organised at Gabhar Valley Homestay, Banke from 24 th -27 th December 2025. The training was attended by 24 participants from ten districts of Lumbini and Karnali Provinces. Participants were leaders and members of community working on forest management and agriculture. This training conceptualised needs, process and outputs of restoration. It highlighted and focused on various conventional and emerging challenges on restoration. Participants discussed about participatory and inclusive restoration and learnt how traditional management approaches including, farm-forest interfaces support in restoration. While learning and sharing various aspects of restoration, participants also got the opportunity to experience culture of indigenous Tharu community.

Implemented under the ‘Reducing Environmental Degradation in Asia and Africa (REDAA)’ project, funded by the UK International Development and managed by IIED, the training was conducted in a natural environment using interactive and various participatory methods such as voting, quizzes, games, jungle walks, matching activities, debate and group work. Activities were designed to foster mutual learning among participants, between project team and the participants. Participants highly appreciated this experimental approach. The event also provided trainers an opportunity to learn from diverse experiences and local practiced shared during formal and informal sessions.

Validation of agroforestry guideline for climate adaptation and sustainable land use

Posted on by Sanjeev Gurung

As part of the Building Agroforestry-Based Adaptation Plans for Resilient Floodplains (BAGAR) project, ForestAction Nepal facilitated Agroforestry Guideline Validation Workshops for Marin Rural Municipality and Gadhimai Municipality at Bardibas and Rautahat, respectively, during 21–26 December 2025.

The validation workshops aimed to ensure that the draft municipal agroforestry guidelines were technically sound, locally relevant, and aligned with municipal priorities and existing policy
frameworks. Members of the municipal-level Ecosystem-based Adaptation (EbA) Forums, comprising elected representatives, municipal officials, technical staff, and key stakeholders, actively participated in the review and validation process.

During the workshops, participants examined key provisions of the draft agroforestry guidelines, discussed proposed implementation mechanisms, and provided constructive feedback based on local floodplain contexts, prevailing land-use practices, and climate-related risks. The discussions highlighted the role of agroforestry in strengthening climate resilience, enhancing sustainable livelihoods, and improving ecosystem services in riverine and flood-prone landscapes.

As an outcome of the process, the Gadhimai Municipality formally approved and validated the Agroforestry Guideline, while Marin Rural Municipality endorsed the guideline for finalisation. The validation process resulted in the endorsement of priority recommendations for refining the guidelines, including some clarification of institutional roles, implementation modalities, and
mechanisms for integration into municipal planning and budgeting processes. These validation workshops mark an important milestone in strengthening local ownership and institutionalisation of agroforestry practices, contributing to long-term climate adaptation and sustainable land-use planning in the project areas.

 

ForestAction Nepal: 25 years of research and policy engagement

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On 20th December 2025, ForestAction Nepal celebrated its Silver Jubilee, marking 25 years of research and policy engagement in forests, agriculture and natural resource management. The Minister of Forests and Environment attended as the Chief Guest of the event along with other delegates from environment, agriculture, research, policy sectors and development partners.

The highlight of the celebration was the inauguration of ForestAction Nepal’s book consisting of 25 years of learnings and reflection in NRM and policy engagement. A critical panel discussion was held addressing the contemporary issues and practices of NRM and future strategies. The participants were also presented with displays of various publications. models of ecosystems and other engaging activities. The evening concluded with tasting of various local dishes, highlighting organic foods and farming.

Click here for ForestAction Nepal’s 25 Years in Action book

फरेष्टएक्सन नेपालले वन, कृषि तथा समग्र प्राकृतिक स्रोत व्यवस्थापनका क्षेत्रमा अनुसन्धान र नीतिगत संलग्नतामा बिताएका गौरवमय २५ वर्षको अवसरमा रजत जयन्ती कार्यक्रम मिति २० डिसेम्बर २०२५ का दिन सफलतापूर्वक सम्पन्न गरेको छ।

उक्त कार्यक्रममा संघीय वन तथा वातावरण मन्त्री, बागमती प्रदेश सभाका उपसभामुख, राष्ट्रपति चुरे–तराई मधेश संरक्षण विकास समितिका अध्यक्ष, कृषि तथा पशुपन्छी विकास मन्त्रालयका सचिव, राष्ट्रिय योजना आयोगका पूर्व उपाध्यक्ष, पूर्व सांसद, पूर्व राजदूत, संघीय वन तथा कृषि मन्त्रालय अन्तर्गतका विभिन्न विभागका महानिर्देशकहरू, नेपाल, अमेरिका, बेलायत, अष्टे«लिया तथा क्यानडाका विश्वविद्यालय तथा अनुसन्धानमुलक संस्थाका प्राध्यापक, कुटनीतिज्ञ, तथा अनुसन्धान वैज्ञानिकहरू, सामुदायिक वन उपभोक्ता महासंघका अध्यक्ष तथा अन्य नागरिक समाज संस्थाका प्रमुख एवं प्रतिनिधिहरू, सामाजिक विषयवस्तुमा विशिष्टता हासिल गरेका शैक्षिक÷प्राज्ञिक व्यक्तित्वहरू, अनुसन्धानकर्ता तथा वरिष्ठ सञ्चारकर्मीहरूको उल्लेखनीय उपस्थिति रहेको थियो।

कार्यक्रमअन्तर्गत सहभागीहरूबीच Evidence–based participatory action research, सामुदायिक वन तथा समग्र प्राकृतिक स्रोत व्यवस्थापनका क्षेत्रमा भएका प्रयासहरू र भावी रणनीतिहरूका विषयमा गहन चिन्तन तथा आलोचनात्मक बहस गरिएको थियो। साथै, फरेष्टएक्सन नेपालको २५ वर्षे यात्राका सिकाइ र आत्ममन्थन समेटिएको पुस्तकको लोकार्पण, विभिन्न प्रकाशनहरूको प्रदर्शनी, प्राकृतिक स्रोत र कृषि प्रणालीका नमुनाहरूको अवलोकन, तथा जैविक खाद्य प्रवद्र्धनका लागि रैथाने परिकारको स्वादसहितको ‘रैथाने खाद्य साँझ’ कार्यक्रम आयोजना गरिएको थियो।

लोकार्पित पुस्तकबाट केही अंश– “हामीले परिकल्पना गरेका सबै लक्ष्य र उद्देश्यहरू पूर्ण रूपमा हासिल गर्न सकेका छैनौँ, न त सबै परियोजना तथा सरोकारवालाहरूका अपेक्षाहरू नै सम्पूर्ण रूपमा सम्बोधन गर्न सकेका छौँ। यद्यपि, हाम्रो इमानदार प्रयासमा कहिल्यै सम्झौता गरेका छैनौँ। अपेक्षित उपलब्धिहरूप्रति पूर्ण सन्तुष्टि नभए तापनि, संस्थागत रूपमा भएका सामूहिक प्रयास र संघर्षलाई खुलेर प्रशंसा गर्दै हामी गर्व महसुस गर्दछौँ।”

“संस्थाले अंगिकार गरेको सामूहिक र Horizontal नेतृत्व अभ्यासका कारण यस यात्राक्रममा फरेष्टएक्सन नेपालले नेतृत्व संकट बेहोर्नुपरेन। यस प्रक्रियाले युवावर्गलाई समेत नेतृत्वका लागि तयार पार्दै निरन्तर नेतृत्व विकास सम्भव बनाएको छ।”

“वर्तमान सन्दर्भमा प्रतिनिधित्व र जवाफदेहिताको संकटले नीति निर्माताहरू र नागरिकहरूबीच व्यापक अविश्वास र निराशा सिर्जना गरेको छ। यस्तो अवस्थामा नीति बहसमा आलोचनात्मक अनुसन्धान तथा बहु–सरोकारवाला प्रक्रियाको भूमिका झन् महत्वपूर्ण बन्दै गएको छ। परम्परागत नीति निर्माण प्रक्रियालाई विज्ञानसम्मत, प्रमाणमा आधारित र जनस्तरसँग जोड्ने विधिको विकासका लागि हाम्रा अनुसन्धान तथा सञ्चार रणनीतिहरूलाई अझ विश्वसनीय र सुदृढ बनाउनु आवश्यक छ। यस अवधिमा हामीले सिकेका छौँ कि फरक रणनीतिहरू फरक सन्दर्भ र फरक नीति एजेन्डाका लागि उपयोगी हुन्छन्। यद्यपि केही रणनीतिहरू विशिष्ट सन्दर्भमा अरूभन्दा बढी प्राथमिकतामा पर्न सक्छन्, हामी कुनै पनि रणनीतिलाई पूर्ण रूपमा अस्वीकार गर्न सक्दैनौँ। जुनसुकै रणनीति अपनाइए पनि, बलियो अनुसन्धान पद्धतिमार्फत नयाँ प्रमाणहरू सिर्जना गर्नु र संस्थागत विश्वसनीयता कायम राख्नु फरेष्टएक्सन नेपालको प्रमुख प्रतिबद्धता रहँदै आएको छ।”

यहाँहरु सबैप्रति हार्दिक आभार।

National Workshop on community-based forest enterprise: towards strategic shifts for achieving forestry for prosperity

Posted on by Sanjeev Gurung

Community forestry is one of Nepal’s most celebrated development achievements, yet its economic potential remains largely untapped. To reflect on how Community Forest User Groups (CFUGs) can move beyond protection-oriented management toward viable enterprise development, ForestAction Nepal organised a 24-hour residential sharing and reflection workshop bringing together community representatives, government officials, private-sector actors, civil society, development partners, and researchers.

Drawing on findings from an FAO–Forest and Farm Facility (FFF)–commissioned study, discussions focused on three key institutional challenges: weak entrepreneurial capacity within CFUGs, limited economies of scale, and inadequate community–private sector partnerships. Participants examined policy and institutional reforms needed to transform CFUGs into dynamic enterprise actors, strengthen collaboration and aggregation mechanisms, and foster equitable partnerships with the private sector. The workshop concluded with strong commitments from government and stakeholders to advance strategic actions for strengthening Community Forest Enterprises (CFEs) and enhancing their contribution to Nepal’s green economic transformation.

Agroecology on Stage: Drama, Song, and Dialogue at Chitwan Kachahari

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Better Chitwan organised the third series of “The Chitwan Kachahari – Festival of Ideas” from December 11–13, 2025, at Narayani Kala Mandir, Chitwan. ForestAction Nepal, serving as the Secretariat of the Alliance of Agriculture for Food, was one of the co-organisers and hosted a session titled “Agroecological Farming: Not an Alternative, but the Mainstream.” The session featured a drama performance, a thematic song, and a panel discussion.

The session began with a drama titled “Astitwa” (Existence) presented by students of Lamjung Agriculture Campus. With the Earth positioned as the central character, the play unfolded through imagined dialogues between humans and different planets, vividly portraying the environmental crisis confronting our planet. The performance highlighted the suffering of the Earth, the struggles and constraints faced by farmers, and the imbalances in our food system, ultimately delivering a powerful call to protect nature and restore harmony between humanity and the Earth.

The drama was followed by a song titled “Kohi Murkha Kina Yaha Kheti Garos” (“Why Would a Fool Farm Here?”), which not only presented a satirical portrayal of the current agricultural scenario and society perspective but also raised critical questions about the challenges of farming and the importance of agriculture.

      

Following the performances, a panel discussion on “Agroecological Farming: Not an Alternative, but the Mainstream” was conducted. The panel included natural farming practitioners and activists Chhabilal Neupane and Rashmi Pandit, and was moderated by agriculture student Pari Bikram.

Speaking on the panel, Rashmi Pandit emphasised that natural farming is a sustainable, soil and environment centred agricultural enterprise and should be advanced as a mainstream practice rather than an alternative. Similarly, Chhabilal Neupane noted that reliance on chemical pesticides and imported fertilisers makes agriculture costly over time, while natural farming reduces production costs and conserves soil health through the use of on-farm compost, beneficial microorganisms, and natural pesticides.

Activist Sujata Tamang emphasised that future farmers are today’s youth and highlighted the need for early education that connects children with soil and farming, from the audience. Additionally, Uddhav Adhikari, Coordinator of the Alliance of Agriculture for Food, warned that chemical fertiliser and pesticides based conventional farming and unsustainable consumption threaten human civilisation and urged greater commitment to protecting soil, nature, and life through poetry.

Alongside the discussion sessions, various exhibition stalls were set up at the venue, showcasing informative posters and artwork related to food systems, alternative agriculture, and soil conservation, enriching the overall learning experience of the event.

     

First National Conference on invasive alien species in Nepal

Posted on by Sanjeev Gurung

Forest Research and Training Center (FRTC) collaborated with ForestAction Nepal to organised the first National Conference on Invasive Alien Species in Nepal on 12 th -13 th December 2025 in Kathmandu. This was the first of its kind and high-profile event organised on invasive species in Nepal. The conference brought together various stakeholders working on policy, management and research on invasive species in Nepal.

Dr. Lila Nath Sharma who is undertaking invasive species management and restoration projects in ForestAction Nepal presented an invited paper on ‘Current efforts to control invasive species outside protected areas in Nepal’. He shared ForestAction Nepal’s activities on invasive species management. Similarly, Dr Naya Sharma Paudel moderated a session on policy practice linkage on invasive species management in Nepal. The conference was important and successful in
sensitising stakeholders on urgency of invasive species management.

 

Data collection for agroforestry guideline (Focus group discussion, Key Informant Interview, and Household Survey)

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As part of the Building Agroforestry-based Adaptation Plans for Resilient Floodplains (BAGAR) Project, ForestAction Nepal conducted a field study in Marin Rural Municipality, Sindhuli District, from 12–19 October 2025 to support the development of a municipality-level Agroforestry Guideline. The field engagement involved Focus Group Discussions and Key Informant Interviews across all wards, bringing together farmers, agroforestry practitioners, municipal representatives, and ward-level stakeholders. These interactions focused on understanding local livelihood systems, agroforestry practices, climate-related challenges, and institutional perspectives to inform locally appropriate planning.

Following the qualitative consultations, a household survey was carried out from 1–8 December 2025 across the municipality using representative sampling to triangulate information and strengthen the evidence base. Structured questionnaires captured data on land use, landholding patterns, crop–tree combinations, income sources, agroforestry management practices, and challenges. The combined insights from field discussions and household surveys are being used to inform the preparation of a context-specific, inclusive, and climate-resilient agroforestry guideline that reflects local conditions and priorities in Marin Rural Municipality.

 

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