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Bangladesh: Skills for Employment Investment Program - Tranche 3

Sovereign (Public) Project | 42466-017 Status: Active

The Skills for Employment Investment Program (SEIP) - Tranche 3 (2020-2023) aims to harness and institutionalize training partnerships established under Tranches 1 and 2. It continues to support sector-focused job-ready skills training through the existing partnerships with public institutes, industry associations and other organizations, covering skills requirements in 10 industry sectors. It introduces selected advanced courses to adopt and adapt emerging Industry 4.0 skill requirements and help industries move up the value chain. It will also support new training specifically targeted at socially disadvantaged groups (including people with disabilities) and women entrepreneurs to ensure inclusive skilling efforts. Overall, Tranche 3 will train about 320,000 people, 30% of whom will be women.

 
Project Name Skills for Employment Investment Program - Tranche 3
Project Number 42466-017
Country Bangladesh
Project Status Active
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 3839-BAN: Skills for Employment Investment Program - Tranche 3
concessional ordinary capital resources lending / Asian Development Fund US$ 150.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Education / Technical and vocational education and training

Gender Equity and Mainstreaming Gender equity
Description The Skills for Employment Investment Program (SEIP) - Tranche 3 (2020-2023) aims to harness and institutionalize training partnerships established under Tranches 1 and 2. It continues to support sector-focused job-ready skills training through the existing partnerships with public institutes, industry associations and other organizations, covering skills requirements in 10 industry sectors. It introduces selected advanced courses to adopt and adapt emerging Industry 4.0 skill requirements and help industries move up the value chain. It will also support new training specifically targeted at socially disadvantaged groups (including people with disabilities) and women entrepreneurs to ensure inclusive skilling efforts. Overall, Tranche 3 will train about 320,000 people, 30% of whom will be women. Tranche 3 continues to support the operationalization of the National Skills Development Authority (NSDA) and the National Human Resource Development Fund (NHRDF) to sustain the SEIP efforts in building a strong skilled workforce.
Project Rationale and Linkage to Country/Regional Strategy

Bangladesh's economy has achieved robust growth of more than 6% annually since 2010, driven largely by the booming garment sector and increasing remittance inflows. However, to place the country into a sustained growth path with diversified economic bases, inadequate education and skills of its workforce pose a binding constraint. More than half of the labor force have only primary education or less; and less than 4% of the working-age population (aged 15-59) had received any technical or vocational training. The working-age population is expanding fast, from 87 million in 2011 to 119 million by 2026, with 2 million potential new entrants to the labor force every year. In the early 2010s, technical and vocational training institutes trained fewer than 500,000 people annually; and poor quality of training resulted in only 25%-40% of graduates finding jobs. Recognizing the challenge, the government has embarked on major educational and training reforms since 2010 to build a strong workforce that will ensure the demographic dividend for a dynamic economy. Significant investments by the government and development partners have underpinned sharp increases in primary and secondary school enrollments. For technical and vocational skills training, the National Skills Development Policy (NSDP) in 2011 has steered major institutional and policy reforms to create a highly skilled workforce across diverse industrial sectors.

Anchored in the NSDP, the SEIP has adopted the MFF modality to assist the government's strategic road map that intends to transform its skills development system both quantitatively and qualitatively. The roadmap envisages to equip the growing young population with industry relevant, job-ready skills to enhance their employability, productivity, and income. The MFF supports the government's ambitious skilling agenda in phases for the following areas. First, it expands the national training capacity by mobilizing the private sector (i.e., industry associations) and revitalizing public training institutes to scale up the provision of job-ready skills training. The expanded provision will assure that women and socially disadvantaged groups can access the training. Second, the MFF aligns quality and contents of training with specific industrial demands by fostering direct involvement from industries. Quality assurance is enhanced through improved training infrastructure, trainers' qualifications, and assessment and certification procedures. Finally, the MFF supports key institutional reforms: the establishment of the National Skills Development Authority (NSDA) to coordinate fragmented training systems in the public and private sectors; and the creation of the National Human Resource Development Fund (NHRDF) to serve as a unified financing mechanism to sustain nationwide skilling initiatives.

Impact Income and productivity of the working population aged 15 and over increased
Project Outcome
Description of Outcome Inclusive access to basic, mid-level, and advanced skills training for priority sectors increased.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

Market-responsive inclusive skills training delivered

Quality assurance system strengthened

Institutions strengthened

Monitoring and management for skills development enhanced

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Nation-wide
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects Tranche 3 will support the renovation of BITAC training facilities and the new construction of BACI training facilities for construction skills training. Hence, Tranche 3 is classified as Environment Category B. Initial environment assessments have been carried out for the two sites of BITAC and BACI facilities, and environment management plans have been prepared in accordance with the environmental assessment review framework. Any potential environment impacts during construction are considered manageable as outlined in the environment management plan. Additional sites for upgrading training facilities may be identified for support under Tranche 3. Accordingly, the environment review framework had been updated during Tranche 3 preparation.
Involuntary Resettlement Tranche 3 does not require any land acquisition or relocation of people. Upgrading civil works for training facilities will occur within existing premises.
Indigenous Peoples Tranche 3 will generate positive impacts to small ethnic communities through increased skilling opportunities and targeted financial support.
Stakeholder Communication, Participation, and Consultation
During Project Design Participatory approaches and project activities-Key stakeholders were consulted throughout implementation of Projects 1 and 2, and during Project 3 preparation. These included training providers and coordinators, teachers and trainees, representatives from industry associations and nongovernmental organizations (NGOs), and government stakeholders. Public consultations were also undertaken across several districts, including meetings with regional administrators, training institutes, trainees, and trainers. Regular consultations have taken place during Projects 1 and 2 implementation to identify any project-related grievances and to seek feedback from communities about SEIP training programs. Civil society organizations. -Private and NGO training providers are important partners in SEIP. They deliver market-relevant training and coordinate activities to enhance training quality.
During Project Implementation Industry associations and NGOs, as training partners for SEIP, are regularly consulted during project implementation; hence, a separate participation plan is not needed.
Business Opportunities
Consulting Services All consultants will be selected using ADB's Guidelines on the Use of Consultants (2013, as amended from time to time) and will be subject to ADB's prior review. ADB's member country procurement eligibility restrictions will apply.
Procurement

Goods and civil works will be procured in accordance with ADB's Procurement Guidelines (2015, as amended from time to time). Goods valued at $2 million or more and works valued at $15 million or more will be procured through international competitive bidding method using ADB's standard bidding documents and will be subject to prior review by ADB. Goods and civil works packages with estimated value below the international competitive bidding threshold mentioned above will be procured using the national competitive bidding method, in accordance with the government's Public Procurement Act (2006, and subsequent amendments) and Public Procurement Rules (2008, and subsequent amendments) subject to modifications agreed between the government and ADB as set out in the FAM and procurement plan. For efficiency and economy, small civil works can be grouped together into larger bid packages, wherever feasible.

The existing implementing partners from Tranches 1 and 2 - 13 industry associations, BB-SME, and PKSF will be continuously be engaged through SSS to deliver the ongoing training courses, along with new courses. The same training grants contracts developed in Tranche 1 will be used with the updated business plan template for consistency across the implementing partners. The draft training grants contracts along with the business plan will be submitted to ADB for review and endorsement.

Responsible ADB Officer Lee, Sunhwa
Responsible ADB Department South Asia Department
Responsible ADB Division Human and Social Development Division, SARD
Executing Agencies
Finance Division, MOF (EA)
[email protected]
Bangladesh Secretariat, Dhaka-1000
Bangladesh
Timetable
Concept Clearance -
Fact Finding -
MRM 04 Jul 2019
Approval 10 Oct 2019
Last Review Mission -
Last PDS Update 10 Oct 2019

Loan 3839-BAN

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
10 Oct 2019 25 Nov 2019 28 Jan 2020 18 May 2024 - -
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 191.00 Cumulative Contract Awards
ADB 150.00 10 Oct 2019 19.41 0.00 13%
Counterpart 41.00 Cumulative Disbursements
Cofinancing 0.00 10 Oct 2019 10.00 0.00 7%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Unsatisfactory Unsatisfactory - - Unsatisfactory

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
L3839-BAN: Skills for Employment Investment Program – Tranche 3 [WD-01] Invitation for Bids Closed 29 Jun 2020 13 Aug 2020
L3839-BAN: Skills for Employment Investment Program – Tranche 3 [WD-02] Invitation for Bids Closed 06 Mar 2020 04 Jun 2020

Contracts Awarded

Contract Title Approval Number Contract Date Contractor Contractor Address Executing Agency Contract Description Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
T-11: CALL CENTER SKILLS TRAINING - BANGLADESH ASS OCIATION OF CALL CENTERS AND OUTSOURCING (BACCO) Loan 3839 25 Sep 2020 BANGLADESH ASSOCIATION OF CALL CENTERS AND OU CNAVANA TOWER(5/F), 45, GULSHAN AVENUE GULSHAN-1, DHAKA-1212 BANGLADESH Finance Division, MOF OTHERS 3,224,400.07 3,223,544.64
T-16: CONSTRUCTION SKILLS TRAINING - REAL ESTATE AND HOUSING ASSOCIATION OF BANGLADESH (REHAB) Loan 3839 21 Aug 2020 REAL ESTATE AND HOUSING ASSOCIATION OF BANGLA NATIONAL PLAZA 5/6F, 1/G, FREE SCHOOL ST SONARGAON ROAD, DHAKA 1205 BANGLADESH Finance Division, MOF OTHERS 3,786,010.86 3,785,211.75
T-13: AGRO-FOOD SKILLS TRAINING - BANGLADESH AGRO PROCESSORS' ASSOCIATION (BAPA) Loan 3839 11 Aug 2020 BANGLADESH AGRO PROCESSORS' ASSOCIATION-BAPA NAVANA NEWBURY PALACE, D-6 (6/F), 4/1/A SOBHANBAGH, DHANMONDI, DHAKA-1207 BANGLADESH Finance Division, MOF OTHERS 5,331,752.22 5,329,451.20
T-02: CONSTRUCTION SKILLS TRAINING - BANGLADESH ASSOCIATION OF CONSTRUCTION INDUSTRY (BACI) Loan 3839 11 Aug 2020 BANGLADESH ASSOCIATION OF CONSTRUCTION EASTERN ELITE CENTER (5F), HOUSE 50 RD, #9/A, SATMASJID RD, DHANMONDI 1209 BANGLADESH Finance Division, MOF OTHERS 6,180,523.26 6,177,855.93
INSTITUTE OF BUSINESS ADMINISTRATION, UNIVERSITY OF DHAKA (IBA,DU)-MIDLEVEL/MANAGERIAL TRAINING Loan 3839 15 Jul 2020 INSTITUTE OF BUSINESS ADMINISTRATION DHAKA - 1000 BANGLADESH Finance Division, MOF OTHERS 1,497,231.15 1,497,231.15
T-17: BANGLADESH WOMEN CHAMBER OF COMMERCE AND INDUSTRY (BWCCI) Loan 3839 15 Jul 2020 BANGLADESH WOMEN CHAMBER OF COMMERCE AND PLOT # 2(2ND AND 3RD FLOOR), ROAD # 23/C GULSHAN-1, DHAKA-1212 BANGLADESH Finance Division, MOF OTHERS 2,622,143.21 2,622,143.21

Procurement Plan