Palli Karma-Sahayak Foundation and World Bank on Monday signed a US$150.75 million financing agreement to strengthen skills development and expand employment opportunities for the country’s youth.
The agreement was signed by PKSF Managing Director Md Fazlul Kader and the World Bank’s Division Director for Bangladesh and Bhutan, Jean Pesme.
The funding will serve as additional financing for the Recovery and Advancement of Informal Sector Employment (RAISE) project being implemented by PKSF.
The RAISE project was launched in 2022 with an initial financing of US$250 million and was originally scheduled for completion in June 2026.
With the new financing, the project timeline will be extended until December 2030. The budget for the extended phase will reach US$280.65 million, while the remaining funds will be mobilised by PKSF and its partner organisations.
Between 2022 and 2030, the total allocation for the RAISE project will now stand at US$536.50 million, equivalent to approximately Tk 61 billion.
The project aims to raise incomes and enhance the skills of unemployed youth, micro-entrepreneurs and workers engaged in the informal sector.
By December 2030, more than 400,000 people are expected to benefit directly, while four to five times as many may benefit indirectly.
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In the extended phase, special emphasis will be placed on supporting young people from remote and climate-vulnerable areas, including chars, haor regions and the hill tracts. To encourage greater participation of women in the informal sector, an initiative has been taken to establish home-based childcare centres.
Under the project, young people are receiving market-oriented technical training. Through the traditional ustad-shagred model, participants gain practical, hands-on skills aligned with labour market needs, alongside support for job placement.
At the same time, young micro-entrepreneurs are being provided with affordable credit and capacity-building support to help expand their businesses and generate additional employment.