World Bnk is going to release about USD 151m to bangladesh to implement the “Recovery and Advancement of Informal Sector Employment (RAISE) Project. A financing and grant agreement has been signed on Sunday (February 1) between Bangladesh and IDA. The project has been under implementation since 2021 and is scheduled to continue until June 2026 with the World Bank support. The implementation period for the additional financing is until 31 December 2030.
Md. Shahriar Kader Siddiky, Secretary, Economic Relations Division (ERD), Ministry of Finance and Jean Pesme, Division Director of the World Bank for Bangladesh and Bhutan signed the financing agreements on their respective sides.
The project is being implemented by the Palli Karma-Sahayak Foundation (PKSF) under the Financial Institutions Division of the Ministry of Finance, said an ERD press release on Monday.
The objective of the project is to provide services that can enhance earning opportunities and employment for low-income urban and rural-youth and youth impacted by Covid-19.
The additional financing comprises a US$150 million loan from IDA and a US$0.75 million grant from the Early Learning Partnership Multi-Donor Trust Fund (ELP MDTF).
The loan carries an interest rate of 1.5 percent, a commitment fee of up to 0.50 percent on the undisbursed balance, and a maturity period of 25 years, including a 5-year grace period.
The World Bank is the largest multilateral development partner of Bangladesh. This financing reflects the deep cooperation between Bangladesh and the World Bank. Currently, the World Bank financing is covering a wide range of sectors, including economic and social development, institutional reforms, infrastructure development, and energy sector advancement.
Sun News/ra
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