Project

Nature Based Solutions for Inclusive Rural Development Project (NBSP)

Sector

Agricultural development

Financing chart
Financing Gap (USD)
11,781,550
Target group
40,000
rural households
Project target area

16 communes in Thai Nguyen province and 15 communes in Cao Bang province

Project summary
The project aims to increase incomes for the poor/near poor ethnic minorities through development of forest-based commodities. The main interventions will include infrastructure upgrade to improve physical market linkages and access to production areas, improved agroforestry systems, institutional capacity enhancement for adaptive forest management and protection, and capacity enhancement for collaborative groups (CGs) to conduct profitable agroforestry and agritourism enterprises. NBSP also proposes specific measures to ensure women are included in relevant activities, such as minimum participation rates in CGs and vocational training.
Components and activities
NBSP has 3 main components: Component1. Policy, Institutional and Collaborative Groups’ (CGs) capacity development. Enhance capacities in forest management as well as the capacity of producer organization in valorizing ecosystem services provided by the forest landscape. Component2. Climate-resilient infrastructure and livelihood support. Support sustainable forest management based on the clear criteria, including development of forest-based value chains that are inclusive, biodiversity-friendly and involve reduced emissions. Component3. Project Management. Ensure sustainability, scaling, and a clear exit strategy by institutionalizing sustainable forest management, strengthening local capacity, and promoting forest-based value chains. It builds on proven models, integrates climate goals, and secures long-term financing and maintenance mechanisms for infrastructure. The approach fosters inclusive participation, private sector partnerships, and knowledge sharing, ensuring continuity and impact beyond the project’s closure.
Financing

Total project cost

85,390,000

IFAD financing
 

49.2 %
42,011,880
42,011,880
IFAD

International cofinancing

9.6 %
8,197,440
8,197,440
Global Environmental Facility

National cofinancing

27.4 %
23,399,130
600,000
Beneficiaries
22,799,130
National Government

Financing
gap

13.8 %
11,781,550

Replenishment cycle

IFAD 13

Approval date

Expected to be approved in 2026

Expected duration

2027 –
2031

Lending terms

Ordinary

Income level

Lower-middle Income

Implementing agency

The Provincial People’s Committees (PPCs)

Contact information

Country Director: 
Frew 
Behabtu 
Email: f.behabtu@ifad.org