ADB okays $250 million for Bangladesh’s social resilience programme
The Asian Development Bank has approved a $250 million policy-based loan to support Bangladesh's social protection reforms as well as to protect vulnerable population against socioeconomic challenges.
This is the second sub-programme of the Strengthening Social Resilience Programme, the Manila-based lender said in a press release today.
This loan will also build on the first subprogram, which implemented institutional and policy reforms and strengthened the inclusiveness and responsiveness of social protection in Bangladesh, according to the statement.
"The Covid-19 pandemic highlighted the need to strengthen social protection systems to help people cope and manage disasters and crises," said ADB Principal Social Sector Specialist for South Asia Hiroko Uchimura-Shiroishi.
"This subprogram continues ADB's support to improve the coverage and efficiency of social protection programmes in Bangladesh, build resilience of the disadvantaged and support an inclusive recovery," she added.
Under the new programme, the ADB is supporting the government in strengthening reforms to improve social protection coverage and efficiency, deepen the financial inclusion of disadvantaged people and strengthen the response to diversified protection needs.
In various stages of implementation, some specific reforms include better protection coverage of disadvantaged women and the urban poor.
Subprogram 2 also helps to improve efficiency by digitalisation and integration of systems as well as harmonisation of government programmes.
Greater financial inclusion of the disadvantaged will be broadened by improving the usability of mobile financial services through the quick response (QR) code payment services, particularly in rural areas.
Mobile clinics help boost health provision to the urban poor, including the floating people in urban areas.
This subprogram also supports a contributory protection scheme by focusing on an employment injury scheme.
Most social protection programmes in Bangladesh are funded by the government and target the poor and vulnerable.
This contributory protection scheme will offer protection to a wider population and help augment government financing for social protection.
As of 2021, ADB's cumulative assistance to Bangladesh since 1973 amounted to about $48 billion through loans, grants, and co-financing. ADB's active portfolio in the country stands at around $11 billion with 50 projects as of April 2022.
The ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty.
Established in 1966, the ADB is owned by 68 members, 49 from the region.
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