Micro-Enterprise Development Programme (MEDEP) was piloted for five years from
1998 to 2003 in I 0 selected districts of the count1y by Minist1y of Industry (MOl),
Government of Nepal, with the technical and financial supports of the United Nations
Development Programme (UNDP). The main goal of this project was poverty alleviation
through micro-enterprise development creating rural employments. With the success of
this pilot phase in poverty alleviation GON and the UNDP extended this project into the
second. expanding in an additional 15 districts the second with the supports from the
UNDP and other donors such as Department for International Development (DFID) of
the UK Government. Australian Agency for International Development (AusAID) and
New Zealand Agency for International Development (NZAID) for four years from 2004
to 2007. Currently, the project is in its third phase which is being implemented in 36
districts with the support ofGON. the UNDP and AusAID.
The project has included a diverse group of target groups mainly low income families and
socially excluded communities such as Women, Unemployed Youths, Dalits
(untouchable caste), Indigenous Nationalities (Janajatis), Other Castes, Madhesis,
Religious Minorities such as Muslims, Conflict and Disaster Affected Families,
HIV/AIDS and Injecting Drug Users. The project has applied stringent selection criteria
to select these target groups and followed an integrated ·approach of business
development services (BDS) in sequential order to support and promote these poor and
excluded to become a successful entrepreneur. The BDS provided by the project are
social mobilisation for enterprise development. entrepreneurship development through
Start and Improve Your Business (SIYB) and International Labour Organisation (ILO)
package of entrepreneurship development replicated in more than 100 countries, skills
development training, linkage to financial institutes for access to credit, support for
accessing appropriated technology. market promotion of products and services and
business counselling,
As of October 2099 the project has created about 41,098 micro-entrepreneurs in the main
sectors such as agro-based, forest based, non farm based, artisan based, service based,
tourism based, etc. enterprises. Among them 68 percent women, 21 percent are Dalits, 42
percent are Indigenous Nationalities and remaining 37 percent other higher castes. The
project has generated employment to more than 46,000 employment in the rural areas.
The average per capita income of the targeted groups has increased by 264 percent and
the total profit generated by these entrepreneurs is NRs. 1,886,000,0000 (US $
25,486.486). Issues and Challenges and Approach/Strategy for Greater Rural
Employment Generation are discussed.

Micro-Enterprise Development Programme (MEDEP) was piloted for five years from
1998 to 2003 in I 0 selected districts of the count1y by Minist1y of Industry (MOl),
Government of Nepal, with the technical and financial supports of the United Nations
Development Programme (UNDP). The main goal of this project was poverty alleviation
through micro-enterprise development creating rural employments. With the success of
this pilot phase in poverty alleviation GON and the UNDP extended this project into the
second. expanding in an additional 15 districts the second with the supports from the
UNDP and other donors such as Department for International Development (DFID) of
the UK Government. Australian Agency for International Development (AusAID) and
New Zealand Agency for International Development (NZAID) for four years from 2004
to 2007. Currently, the project is in its third phase which is being implemented in 36
districts with the support ofGON. the UNDP and AusAID.
The project has included a diverse group of target groups mainly low income families and
socially excluded communities such as Women, Unemployed Youths, Dalits
(untouchable caste), Indigenous Nationalities (Janajatis), Other Castes, Madhesis,
Religious Minorities such as Muslims, Conflict and Disaster Affected Families,
HIV/AIDS and Injecting Drug Users. The project has applied stringent selection criteria
to select these target groups and followed an integrated ·approach of business
development services (BDS) in sequential order to support and promote these poor and
excluded to become a successful entrepreneur. The BDS provided by the project are
social mobilisation for enterprise development. entrepreneurship development through
Start and Improve Your Business (SIYB) and International Labour Organisation (ILO)
package of entrepreneurship development replicated in more than 100 countries, skills
development training, linkage to financial institutes for access to credit, support for
accessing appropriated technology. market promotion of products and services and
business counselling,
As of October 2099 the project has created about 41,098 micro-entrepreneurs in the main
sectors such as agro-based, forest based, non farm based, artisan based, service based,
tourism based, etc. enterprises. Among them 68 percent women, 21 percent are Dalits, 42
percent are Indigenous Nationalities and remaining 37 percent other higher castes. The
project has generated employment to more than 46,000 employment in the rural areas.
The average per capita income of the targeted groups has increased by 264 percent and
the total profit generated by these entrepreneurs is NRs. 1,886,000,0000 (US $
25,486.486). Issues and Challenges and Approach/Strategy for Greater Rural
Employment Generation are discussed.