Federal republic of Germany is committed to provide financial assistance to Pakistan through KfW under various projects, “Livelihood support & promotion of small community infrastructure” (LACIP) project is one of such projects focused on education of poverty and provision of basic community infrastructure to the deprived communities in Khyber Pakhtunkhwa (KPK). The project was mutually perceived by BMZ, KfW, Economic Affairs Division EAD, and PPAF to address poverty in the districts affected by conflict and natural disasters. The project is carefully designed for economic uplift of the bottom poor who fall below poverty lie by the provision of productive asset transfer' demand based provision of small community infrastructure is meant to increase living standard and impart good governance. I am glad to see the impact already been created by the project at the grass root level in six selected districts. Institutional development is another integral component of the project that builds capacity of the local communities to organize and act on self-help. These community organizations set up by our 22 Partner Organizations also ensure sustainability of the projects. Women and men both are benefiting from the project that is highly commendable and project is smoothly sailing forward to achieve its objectives. I would also like to extend my gratitude to leadership of the Government of KPK their interest and support to the project and PPAF for its sincere efforts to successfully implement the project.

- Mr. Jens Clausen, Head of Division, Cries and Governance, KFW, Frankfurt, Germany


The program “Livelihood Support & Promotion of Small Community Infrastructure Project” (LACIP) is financed by the Federal Republic of Germany through KfW. The total project cost is 31.5 Million Euros and is being executed by Pakistan Poverty Alleviation Fund (PPAF) over a period of four years. LACIP targets 56 union councils in eight target districts of Khyber Pakhtunkhwa i.e. Buner, Charsadda, DI Khan, Swabi, Chitral, Haripur, Nowshera and Abbotabad. There are four funding phases for the project and a total of 13 partner organizations are working in selected union councils. All interventions under the project are implemented in close coordination with the government line departments in the respective districts. Moreover, the work is carried out jointly with Community Organizations (COs), Village Organizations (VOs), and Local Support Organizations (LSOs) at the union council level. the project aims to reduce the poverty levels by increasing economic opportunities.

The project is mandated to work in institutional development as a foundation and creating an integrated approach towards development using the components of Small and Medium Infrastructure, Livelihood Enhancement and Protection (LEP), Health and Education (H&E) and Disaster Preparedness and Mitigation (DPM) in the 8 selected districts (Chitral, Buner, Swabi, Charsadda, D.I. Khan, Haripur, Nowshera and Abbottabad) of Khyber Pakhtunkhwa, Pakistan.

Small and Medium Infrastructure is responding to the community basic needs and demands following the Community Driven Development approach. Approximately 1,955 CPI schemes are being implemented under LACIP in the eight target districts. Livelihood support is a major component in the project. It works towards the setting up of 7,905 units of livelihood support, and provides asset, enterprise and business management trainings to the beneficiaries in target districts. Through the Health and Education (H&E) component, support is provided to villages with existing health or education facilities operated by the government or community organizations requiring physical and functional improvements. Disaster Preparedness and Mitigation (DPM) is vital to the project, that is not only mainstreaming Disaster Risk Reduction (DRR) in the small community infrastructure schemes but also enhancing capacities of communities to prepare for and cope with likely disasters.

Our Partners