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nhrpd is a daemon to support Next Hop Routing Protocol (NHRP). NHRP is described in RFC2332.

NHRP is used to improve the efficiency of routing computer network traffic over Non-Broadcast, Multiple Access (NBMA) Networks. NHRP provides an ARP-like solution that allows a system to dynamically learn the NBMA address of the other systems that are part of that network, allowing these systems to directly communicate without requiring traffic to use an intermediate hop.

Cisco Dynamic Multipoint VPN (DMVPN) is based on NHRP, and Quagga nrhpd implements this scenario.