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Enabling Sectoral Pathways towards Formality for Vulnerable Workers, and Enterprises in Nepal’s Informal Economy

This intervention aims to strengthen the technical and institutional capacities of tripartite constituents in Nepal to address vulnerabilities of workers and economic units in the informal economy in the agriculture, transport, and construction sectors and ultimately facilitate their transition to formality.

Project details

1 March 2023 - 28 February 2025

Regular Budget Supplementary Account (RBSA)

NPL/22/05/EUR

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The ILO is providing technical assistance to a tripartite national committee at the Ministry of Labour, Employment and Social Security to develop and implement an integrated National Action Plan on Formalization, in line with Recommendation No. 204. To operationalize the action plan, the Regular Budget Supplementary Account (RBSA) funded intervention supports the diagnostic of informality in the target sectors, capacity development, knowledge sharing, and formulation of an integrated national strategy on formalization. These interventions are in coordination with other United Nations agencies under a European Union funded joint programme and guided by the 2019 Centenary Declaration for the Future of Work and the 2021 Global Call to Action.
 The expected results are: – i) Evidence-based and Gender Sensitive National Strategy for Formalization is drafted through tripartite dialogue, ii) Institutional mechanisms and procedures are enhanced to facilitate the transition and maintenance of economic units in the formal economy, and iii) Enhanced capacities and awareness of tripartite constituents and economic units to advance the national agenda on formalization.

Project objective

The RBSA funded intervention aims to provide technical support to tripartite constituents to promote the transition towards formality for women workers and enterprises in sectors with high incidence of informality.

Expected Results

The expected result of this proposal is that tripartite constituents in Nepal will have increased capacity to promote the transition towards formality for women workers and enterprises in sectors with high incidence of informality, which will be reported against P&B Output 7.4 (7.4.2), 8.1 (8.1.1) and 4.3 (4.3.1). This will also support the country’s efforts towards SDG targets 8.3 and 1.3. This will be accomplished by contributing to the following outcomes:

Outcome 1: Evidence-based and Gender Sensitive National Strategy for Formalization is drafted through tripartite dialogue
Outcome 2: Institutional mechanisms and procedures are enhanced to facilitate the transition and maintenance of economic units in the formal economy
Outcome 3: Enhanced capacities and awareness of tripartite constituents and economic units to advance the national agenda on formalization

For further information please contact:

Mr Saurabh Shah
National Project Coordinator
Email:shah@ilo.org