1. Government of Nepal
Ministry of Agriculture & Livestock Development
Planning and budgeting for a climate resilient agriculture: Nepal Experience
Regional Dialogue on the role of Climate Proofing Growth and Development to achieve the SDGs. Bangkok, 3-6 March, 2019
Lal Kumar Shrestha
Chief, Budget & Program Section
Ministry of Agriculture & Livestock Development, Nepal

2. Outline Background (Problem statement) Challenges faced
Government of Nepal
Ministry of Agriculture & Livestock Development
Outline
Background (Problem statement)
Challenges faced
Solutions /some improvements
Key Message
Key Learning

3. Background Ministry of Agriculture & Livestock Development
Government of Nepal
Ministry of Agriculture & Livestock Development
Background
Agriculture in Nepal
Population: 60.4%, GDP: 27.6% diverse geographical area, commodity
Climate vulnerability
Nepal is fourth most vulnerable country to climate change impacts.
Agriculture is highly sensitive to extreme events such as floods and droughts, long-term changes to rainfall and temperature leading to reduction in yields and shifts in cropping patterns.
Small farmers
With 26.69% having less than 0.2 ha and 47.31% with less than 0.5 ha. Large numbers of these farmers are already poor and extremely vulnerable to climate change.

4. Background Impacts on agriculture
Government of Nepal
Ministry of Agriculture & Livestock Development
Background
Impacts on agriculture
pronounced among women and smallholders, who have poor access to natural resources and public services, and limited livelihood options.
are highly exposed and sensitive to climatic threats, such as droughts, floods, soil erosion, landslides, pest outbreaks, and heat and cold waves.

5. Challenges faced Policy address & Institutionalization
Government of Nepal
Ministry of Agriculture & Livestock Development
Challenges faced
Policy address & Institutionalization
Planning & budgeting, monitoring reporting in the federal context (three tiers of government)
Strengthening Capacity gaps: information & knowledge
Technology development and serve

6. Climate initiatives Climate smart village Climate budget tracking
Government of Nepal
Ministry of Agriculture & Livestock Development
Climate initiatives
Climate smart village
170 (SDGs gold 13), GAP, OA, Adaptation Plan in local level, cattle shed improvement massively, Agro advisory services, crop and Livestock insurance
Climate budget tracking
Climate budget coding at program level
CCFF developed, IMCCC formed
Improved method
Addressing specific needs of agriculture sectors
Improving accuracy of climate budget
Inform policy makers regarding the climate related budget & expenditure
Bring about uniformity in tracking climate related budget & expenditure in agriculture at federal, province and local levels.

7. Climate initiatives 1st Step
Government of Nepal
Ministry of Agriculture & Livestock Development
Climate initiatives
1st Step
Development of typologies to improve identification of climate activities in agriculture sector.
7 typologies include
sustainable land management,
sustainable water management,
food security and promotion of agriculture biodiversity,
livestock development,
Disaster preparedness for extreme events, and so on
2nd step
Identification of climate objectives : adaptation, mitigation or both of each typology

8. Climate initiatives 3rd step 4th step 5th step
Government of Nepal
Ministry of Agriculture & Livestock Development
Climate initiatives
3rd step
identification of agriculture programmes being implemented
4th step
identification of activities under each programme
5th step
assessing level of climate relevancy based on 3 key questions:
Which CC vulnerability is being addressed,
Who are the beneficiaries including gender,
How does the activity support national commitments (NDC, SDG).

9. Climate initiatives Guidelines
Government of Nepal
Ministry of Agriculture & Livestock Development
Climate initiatives
Guidelines
New guidelines ( ) have been developed to help planners.
LMBIS database has incorporated provision for activity level coding
Vulnerability assessment and monitoring and reporting
Tools for vulnerability assessment and monitoring and reporting of climate actions has been developed as part of formulating NAP-Ag.
Message
With the new tools of vulnerability assessment and methods of budget coding at activity level we hope to better target climate actions with increased climate budget accuracy, which eventually is expected to help us assess financing gap to plan for effective climate investment.

10. Key learning On the CC impacts
Government of Nepal
Ministry of Agriculture & Livestock Development
Key learning
On the CC impacts
Microclimates in the mountains vary within a short distance.
Climate change has already impacted timing of planting and ripening period affecting yields of major crops.
New diseases and insects/pests have been seen affecting both crops and animals.
Floods and landslides as well as extended recurrent droughts have been damaging the crop yield forcing displacement of farmers from agriculture.

11. Key learning On roadblocks to increase resilience
Government of Nepal
Ministry of Agriculture & Livestock Development
Key learning
On roadblocks to increase resilience
Unavailability of the information about degree and nature of climate impacts
Low level of understanding of the capacity of farmers to adapt to the impacts.
Diverse geography with varying degree and nature of climate impacts requiring diverse responses demand increased capacity
Required level of finances.

12. Key learning On tools, methods and frameworks being used.
Government of Nepal
Ministry of Agriculture & Livestock Development
Key learning
On tools, methods and frameworks being used.
Budget tagging before plans are made helps improve climate responses rather than after plans have been formulated.
Mainstream climate change in the planning and budgeting requires an increased understanding of climate impacts. It is difficult to build such understanding in rapidly changing scenario of climate impacts especially in mountainous regions.
Recognition of climate threats as hurdle achieving the sectoral objectives ( for example by ADS in Nepal) help address climate change in the long-term.
Early warning systems and insurances against losses are extremely important in improving resilience of farmers.

13. Thank you for your kind attention
Government of Nepal
Ministry of Agriculture & Livestock Development
Thank you for your kind attention