$1.25 billion financing approved for green and resilient growth
WASHINGTON, April 27, 2023¡ª¶¹ÄÌÊÓƵAPP¡¯s Board of Executive Directors today discussed a new Country Partnership Framework for Bangladesh (2023-2027) and approved $1.25 billion financing in three new projects.
The , anchored in the government¡¯s eighth Five Year Plan and the Long-Term Perspective Plan 2021¨C2041, will support Bangladesh¡¯s goal to achieve upper-middle-income country status by 2031 by helping the country to address key barriers to higher and sustainable growth. It will help develop a diversified and competitive private sector to create more and better jobs; promote socioeconomic inclusion to expand opportunities for all; and address climate and environmental vulnerabilities. These three outcomes are key priorities for Bangladesh¡¯s growth aspirations.
Guided by these priorities, the CPF proposes a robust program of technical and financial support focusing on eight objectives¡ªimproved business environment for broad-based private sector development; strengthened financial intermediation for long-term growth and resilience; improved effectiveness of public institutions to deliver better services; improved quality and equitable access for human capital development services; enhanced economic opportunities for women and vulnerable groups; strengthened spatial and digital connectivity for inclusive growth; improved effectiveness of delta management for accelerated climate resilience building and sustainability; and productivity in the use of natural capital for green growth and energy transition.
"This Country Partnership Framework builds on five decades of strong partnership between the World ¶¹ÄÌÊÓƵAPP Group and Bangladesh," said Abdoulaye Seck, World ¶¹ÄÌÊÓƵAPP Country Director for Bangladesh and Bhutan.&²Ô²ú²õ±è;¡°As Bangladesh aims to be more prosperous, it will need stronger institutions and policies to serve the needs of an upper-middle-income country. This CPF will support the government¡¯s reform programs to deliver jobs and support inclusion and resilience.¡±&²Ô²ú²õ±è;
To prepare the CPF, the World ¶¹ÄÌÊÓƵAPP Group held extensive countrywide and online consultations with key stakeholder groups, including the government, the private sector, civil society, think tanks, academia, media, and other development partners.
¡°Bangladesh has an ambitious goal ¨C to achieve upper middle income status within a short period and that too in face of the daunting challenges of climate change, said Junaid Kamal Ahmad, MIGA Vice President of Operations. ¡°Access to private capital and global financial markets will increasingly be needed to achieve this goal.¡±
¡°Bangladesh has been one of the world¡¯s outstanding development growth stories. Additional reforms to spur the development of a more diversified and competitive private sector will grow exports and create quality jobs,¡± said Martin Holtmann, IFC¡¯s Country Manager for Bangladesh, Nepal and Bhutan. ¡°Financing for green investments to help tackle and mitigate climate risks will become increasingly important.¡±
¶¹ÄÌÊÓƵAPP Board of Directors today also approved $1.25 billion financing in three projects to help Bangladesh achieve greener and more resilient development and greater inclusion.
The $500 million Program on Agricultural and Rural Transformation for Nutrition, Entrepreneurship, and Resilience (PARTNER) project will help promote diversification, food safety, entrepreneurship, and climate resilience in the agri-food systems. The $500 million First Green and Climate Resilient Development Credit will help the country¡¯s transition to green and climate-resilient development. The $250 million Sustainable Microenterprise and Resilient Transformation (SMART) project will help transform the micro-enterprise sector into a more dynamic, less-polluting, resource-efficient, and climate-resilient growth sector.
With these three projects approved, the International Development Association¡¯s (IDA) total ongoing program in Bangladesh stands at $16.3 billion. MIGA¡¯s current program in Bangladesh just over $1 billion.
IFC has ongoing program of about $1 billion.
