ADB to Improve Climate Resilience and Rural Livelihoods in Timor-Leste

MANILA, PHILIPPINES (13 December 2024) — The Asian Development Bank (ADB) has approved a $6 million grant, as part of a total project cost of $16.6 million, to help improve climate resilience, water and food security, and livelihood opportunities for rural communities in Timor-Leste.

The $16.6 million project is funded by a $6 million grant from the Asian Development Fund, a $4.59 million grant from the Global Environment Facility, a $3 million grant from the Japan Fund for Prosperous and Resilient Asia and the Pacific, a $2.5 million grant from the Community Resilient Partnership Program Trust Fund supported by the Nordic Development Fund and the governments of France and the United Kingdom, and a $500,000 grant from the Ireland Trust Fund for Building Climate Change and Disaster Resilience in Small Island Developing States.

The Rural Resilience and Livelihood Improvement Sector Project will help rural communities that rely predominantly on agriculture and with limited livelihood and income-generating opportunities. The project will improve access to water and the productivity of farms and agroforestry through climate-smart approaches, enhance market linkages, and develop diversified livelihood opportunities.

“Timor-Leste is highly vulnerable to climate and disaster risks and is one of the most food insecure economies in the world,” said ADB Country Director for Timor-Leste Stefania Dina. “By investing in rural communities, we aim to create pathways to a brighter and more sustainable future. Together, we can empower every farmer and family to thrive, fostering resilience and opportunity for generations to come.”  

The project will support about 46,000 people in the rural areas of Manatuto municipality. It takes an inclusive approach, with the government working closely with local communities to plan and implement a variety of investments in rural infrastructure, agriculture, and livelihood development, as well as capacity building. This collaborative strategy ensures that community voices are heard and that solutions are tailored to meet the specific needs of residents. By working together, the project aims to strengthen resilience and create better economic opportunities for these communities, ultimately improving their quality of life. 

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 69 members—49 from the region.