Sustainable Forests and Livelihoods (SUFAL) Project

Sub-Component 3.2 Alternative Income Generation Activities (AIGAs)

The COM will elaborate the protocols for implementation including: (i) awareness raising and community mobilization; (ii) criteria and process for selection of AIGAs recipients – priority will be given to members of CFMCs who are (a) the poorest in the village; (b) all women-headed households; (c) landless and those who lack year-round employment; or, (d) belong to ethnic minority communities; the NGO will ensure that all decisions are participatory, inclusive and, transparent and address the specific needs for women’s economic empowerment. (iii) capacity building; (iv) assessing AIGA proposals; (v) rules for borrowing and re-payment to the AIGA fund; (vi) reporting and procurement; (vii) list of activities that may not be financed by the project; (viii) sustainability.

Funding of AIGAs: Funding will be channeled from the PMU directly to community accounts. Each community will have two accounts:(i) a collaborative forest management committee (CFMC) account for a village development fund of $5000 per village for carrying out activities that benefit the village as a whole; and, (ii) AIGA fund. The AIGA fund will be maintained as a revolving fund at the community level and will be available to community members as micro-credit. AIGAs that may be financed would be screened, among others, for enhancing climate resilience, reduction of forest degradation and support to the objectives of SUFAL. A list of activities that may not be financed by the project will be in the COM. Both on and off-forest income generating activities may be financed. The NGOs will help with the forward linkages to markets and banking and credit facilities where required with special emphasis on providing women with these linkages.

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