The World Bank and the government of Bangladesh on Thursday signed a $250 million financing agreement to help Bangladesh create more and better jobs, recover faster from the COVID 19 pandemic and build resilience to future crises. The agreements were signed by Economic Relations Division secretary Fatima Yasmin and World Bank Country Director for Bangladesh and Bhutan Mercy Tembon on behalf of the Government and the World Bank, respectively. The Third Programmatic Jobs Development Policy—the last in a series of three credits—focuses on key reforms to create quality and inclusive jobs, while supporting the government’s response to the COVID-19 crisis. Also read: WB okays $250 million for Bangladesh to respond to COVID ... It supports policies to modernize the trade and investment regime; improve social protection for workers; and help youth, women, and vulnerable people access quality jobs. The credit is from the World Bank’s International Development Association (IDA), which provides concessional financing, has a 30-year term, including a five-year grace period. “The COVID-19 pandemic has had a disproportionate impact on the poor and vulnerable population,” said Mercy Tembon. Read Bangladesh inks over $1 b deal with World Bank for responding to COVID-19 pandemic He said that this financing supports government policies to protect those most affected by the pandemic and create more and better jobs as Bangladesh continues its journey towards its vision of becoming an upper-middle income country. The pace of job creation has slowed in recent years, and the COVID-19 pandemic has exacerbated the situation. The Jobs Development Policy Credit series has helped the government protect 5 million jobs, and enabled firms to continue paying their workers’ wages. Also read: World Bank prediction on Bangladesh economy inconsistent ... Losses in jobs and income put livelihoods of several million at risk in both rural and urban areas. Women and youth have been particularly hard hit. It also supported the migrant workers who have had to return to Bangladesh due to the pandemic. The program will also support informal micro-entrepreneurs in recovering by extending micro-finance facilities. “The government has taken fast and proactive measures to protect the poor and vulnerable population and to mitigate the adverse impact of the COVID-19 pandemic on formal and informal businesses,” said ERD secretary Fatima Yasmin. Read WB approves $500 mn to help Bangladesh vaccinate 54 mn people The program has already resulted in reducing costs of starting a business; making the skills development sector more labor-market relevant; strengthening labor regulations for improved working conditions; and promoting quality daycare to enable more women to join the labor force, according to the press release. With this program, total World Bank financing under the Programmatic Jobs Development Policy Credit series stands at $750 million. Bangladesh currently has the largest ongoing IDA program totaling over $14 billion. Read WB approves $200 million to help Dhaka support urban poor, migrants

  World Bank has approved $250 million to help Bangladesh create more and inclusive jobs and effectively respond to the COVID-19 pandemic for a faster recovery and stronger resilience to future crises. The Third Programmatic Jobs Development Policy Credit—the last in a series of three credits— is supporting the government of Bangladesh to develop a stronger policy and institutional framework to modernize the trade and investment regime; improve social protection for workers;  and help youth, women and vulnerable population access quality jobs, according to a release from World Bank. Read WB approves $500 mn to help Bangladesh vaccinate 54 mn people It will also support informal micro-entrepreneurs in recovering from the shock by extending micro-finance facilities. Overall, it will support government programs to protect over 5 million jobs as part of the government’s near-term response to the crisis, while laying the groundwork to accelerate recovery and build resilience. This program will also help streamline business and investment services, reducing the cost of starting a business. Further, it supports reforms to align the skills development sector with labor-market demands. Also read: World Bank prediction on Bangladesh economy inconsistent: Finance Minister “Job creation remains central to Bangladesh’s development objectives. While Bangladesh has had strong economic growth in recent years, the pace of job creation has slowed, especially in the manufacturing sector. The COVID-19 pandemic increased the challenges, and the poor and women were hardest hit,” World Bank Country Director for Bangladesh and Bhutan Mercy Tembon said. She said that this financing will help Bangladesh create more and better jobs and expand support for both formal and informal workers affected by COVID-19 crisis. Read WB approves $200 million to help Dhaka support urban poor, migrants This financing will support the government in its efforts to protect the earnings of workers affected by the COVID-19 crisis and enable firms to continue paying their workers’ wages. “Although income and job losses due to the pandemic impacted people from all walks of life, women are most at risk of exiting the job market,” World Bank Lead Economist and Task Team Leader for the Project Aline Coudouel said. He said that this series of programs promoted quality daycare for children in a bid to bring more women to the job market and supported actions to create a more inclusive labor market, for women, youth, and migrants. Also read:  COVID-19 might leave adverse impact on Indian economy: World Bank report With this program, the total World Bank’s financing to the Programmatic Jobs Development Policy Credit series stands at $750 million. The credit is from the World Bank’s International Development Association (IDA), which provides concessional financing, has a 30-year term, including a five-year grace period. Bangladesh currently has the largest ongoing IDA program totaling over $14 billion. Read Bangladesh to gain from seamless transport connectivity with India: WB