The project involves improving the environment through natural resources conservation/development and to contribute to diversified livelihoods system of two watershed areas community 320 households (7000 people) living in the two watershed sites. This is aimed to be achieved with the objectives of physical and biological natural resources conservation methods on sustainable development basis to enhance diversified livelihoods. The project has been systematically and carefully designed with full participation of concerned stakeholders so as to ensure sustainable conservation, development, and use of the project results by the community. It is designed in such a way that it can contribute to global environmental benefits in the GEF focal areas of sustainable land management (protection of land degradation, conservation of biodiversity and climate change,) and reduction of global warming, alleviation of poverty situation, promotion of agricultural production, improvement of the food security situation of the target communities through diversifying community?s livelihoods system, which currently is suffering from very narrow livelihood base.