Vietnam has suffered from significantly increased climate extremes in recent time with complicated occurrences of typhoons, floods and other extreme events. Although Vietnam has been active in implementing Climate Change Adaptation (CCA) and Disaster Risk Reduction (DRR) initiatives at all levels, Loss and Damage (L+D) still occur and severely affect vulnerable communities, especially those in remote areas. The reality shows that understanding of the loss and damage is extremely needed for climate change adaptation experts. However, there is lack of capacity of the loss and damage at the local level in Vietnam, especially compensation mechanism. In 2014, Department of Meteorology and Climate Change (DMHCC) in collaboration with Hue Economic University developed a project of capacity building for loss and damage (L&D) for officials, experts and the communities on DRR, CCA and L&D at both national and provincial level. The project specifically targeted the line ministries such as Ministry of Agriculture and Rural Development, Ministry of Finance, National Committee for Disaster Prevention and Control, National Committee on Climate Change, provincial departments of natural resources and environments, and provincial departments on disaster prevention and management. An instruction and the measurement tools were introduced to the provincial and local authorities and departments to assess the L&D relating to DRR and CCA. The indigenous knowledge of how the local people respond to natural disasters was documented and took into consideration while formulating DRR and CCA strategies at local level. In order to optimize national and local resources to support DRR and CCA, the linkages among agencies who are working in both DRM and CCA fields have been further strengthened.