Bangladesh: Supporting Post-COVID-19 Small-Scale Employment Creation Project
With the onset of the COVID-19 pandemic, government's efforts took on increased urgency and many short-term measures were put in place to provide immediate support for social protection and job protection. While most of the social protection measures were through direct cash or in-kind transfer and expansion of welfare programs, the support for industry and job protection will mostly be carried out through credit lines and liquidity support through financial sector. The total amount of credit lines, refinance programs, and credit protection schemes announced, has reached Tk1 trillion. But the retrenchment of the financial sector and capacity constraints present a challenge to deliver the funds timely and efficiently especially to reach certain highly vulnerable sectors.
Project Details
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Project Officer
Al Hasan, Mohammad Rashed
South Asia Department
Request for information -
Country/Economy
Bangladesh -
Sector
- Finance
| Project Name | Supporting Post-COVID-19 Small-Scale Employment Creation Project | ||||||||
| Project Number | 54336-001 | ||||||||
| Country / Economy | Bangladesh |
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| Project Status | Active | ||||||||
| Project Type / Modality of Assistance | Loan Technical Assistance |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth |
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| Drivers of Change | Gender Equity and Mainstreaming Governance and capacity development Partnerships Private sector development |
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| Sector / Subsector |
Finance / Banking systems and nonbank financial institutions - Inclusive finance Public sector management / Public administration |
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| Gender Equity and Mainstreaming | Effective gender mainstreaming | ||||||||
| Description | With the onset of the COVID-19 pandemic, government's efforts took on increased urgency and many short-term measures were put in place to provide immediate support for social protection and job protection. While most of the social protection measures were through direct cash or in-kind transfer and expansion of welfare programs, the support for industry and job protection will mostly be carried out through credit lines and liquidity support through financial sector. The total amount of credit lines, refinance programs, and credit protection schemes announced, has reached Tk1 trillion. But the retrenchment of the financial sector and capacity constraints present a challenge to deliver the funds timely and efficiently especially to reach certain highly vulnerable sectors. | ||||||||
| Project Rationale and Linkage to Country/Regional Strategy | The project will help enhance the productivity and skills of the workforce, and create gainful employment opportunity, all of which are priority areas in ADB's country partnership strategy, 2016-2020 for Bangladesh, and is included in the country operations business plan, 2020-2022. The project is well aligned with the operational priorities of ADB's Strategy 2030. The project will help alleviate poverty by creating employment opportunities and supporting entrepreneurship (Operational Priority 1). The project will help strengthen governance and the institutional capacity of several key institutions crucial for employment creation (Operational Priority 6), and support gender equality by incorporating gender elements by providing inclusive financing and gender sensitive capacity building activities (Operational Priority 2). Moreover, in line with ADB's Strategy 2030, the project will help promote private sector development. Given the severe challenge of COVID-19, the needs by the country in all these areas take on much increased urgency and the impact of ADB support is magnified. | ||||||||
| Impact | Rapid recovery for COVID-19 to restore employment, income and economic activities (Eighth Five Year Plan, July 2020-June 2025) |
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| Project Outcome | |
|---|---|
| Description of Outcome | Adverse economic effects of COVID-19 on migrants, youth, and rural entrepreneurs mitigated |
| Progress Toward Outcome | Ongoing. To be assessed after the financial closing of the project in June 2025. |
| Implementation Progress | |
| Description of Project Outputs | Financial support to enterprises started or operated by migrants, rural enterprises, and youth from the formal banking sector increased Capacity of employment-supporting financial institutions strengthened Action plan for promoting formal banking sector support for cottage, micro, and small enterprises developed |
| Status of Implementation Progress (Outputs, Activities, and Issues) | The consulting firm has been recruited and the required initiatives are being taken to i) increase financial support to enterprises started or operated by migrants, rural enterprises, and youth from the formal banking sector, ii) strengthen the capacity of employment-supporting financial institutions, and iii) develop an action plan for promoting formal banking sector support for cottage, micro, and small enterprises. |
| Geographical Location | Nation-wide |
| Safeguard Categories | |
|---|---|
| Environment | FI-C |
| Involuntary Resettlement | FI-C |
| Indigenous Peoples | FI-C |
| Summary of Environmental and Social Aspects | |
|---|---|
| Environmental Aspects | |
| Involuntary Resettlement | |
| Indigenous Peoples | |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | |
| During Project Implementation | |
| Business Opportunities | |
|---|---|
| Consulting Services | Consulting services to be financed by the proposed attached TA will follow ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time). The recommended project procurement risk is low (Appendix 2). |
| Procurement | Procurement to be financed by the proposed attached TA will follow ADB Procurement Policy (2017, as amended from time to time) and Procurement Regulations for ADB Borrowers (2017, as amended from time to time). |
| Responsible ADB Officer | Al Hasan, Mohammad Rashed |
| Responsible ADB Department | South Asia Department |
| Responsible ADB Division | Bangladesh Resident Mission |
| Executing Agencies |
Ministry of Finance |
| Timetable | |
|---|---|
| Concept Clearance | 06 Jul 2021 |
| Fact Finding | 13 Jul 2021 to 29 Jul 2021 |
| MRM | 17 Sep 2021 |
| Approval | 17 Nov 2021 |
| Last Review Mission | - |
| Last PDS Update | 14 Dec 2022 |
Loan 4142-BAN
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 17 Nov 2021 | 29 Nov 2021 | 27 Feb 2022 | 30 Jun 2025 | - | - |
| Financing Plan | Loan Utilization | ||||
|---|---|---|---|---|---|
| Total (Amount in US$ million) | Date | ADB | Others | Net Percentage | |
| Project Cost | 150.00 | Cumulative Contract Awards | |||
| ADB | 150.00 | 22 Jan 2023 | 0.00 | 0.00 | 0% |
| Counterpart | 0.00 | Cumulative Disbursements | |||
| Cofinancing | 0.00 | 22 Jan 2023 | 40.00 | 0.00 | 27% |
TA 6829-BAN
| Milestones | |||||
|---|---|---|---|---|---|
| Approval | Signing Date | Effectivity Date | Closing | ||
| Original | Revised | Actual | |||
| 17 Nov 2021 | 21 Dec 2021 | 21 Dec 2021 | 30 Jun 2025 | - | - |
| Financing Plan/TA Utilization | Cumulative Disbursements | |||||||
|---|---|---|---|---|---|---|---|---|
| ADB | Cofinancing | Counterpart | Total | Date | Amount | |||
| Gov | Beneficiaries | Project Sponsor | Others | |||||
| 900,000.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 900,000.00 | 22 Jan 2023 | 1,370.82 |
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.
None currently available.
Evaluation Documents See also: Independent Evaluation
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Related Publications
None currently available.
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Tenders
| Tender Title | Type | Status | Posting Date | Deadline |
|---|---|---|---|---|
| Supporting Post-COVID-19 Small-Scale Employment Creation Project | Firm - Consulting | Closed | 11 Feb 2022 | 17 Feb 2022 |
Contracts Awarded
| Contract Title | Approval Number | Contract Date | Contractor | Address | Executing Agency | Total Contract Amount (US$) | Contract Amount Financed by ADB (US$) |
|---|---|---|---|---|---|---|
| Capacity Development Technical Assistance | Technical Assistance 6829 | 22 Jul 2022 | GFA CONSULTING GROUP GMBH (GERMANY) in association with SEBA Limited (BANGLADESH) | EULENKRUGSTRASSE 82 D-22345 HAMBURG GERMANY | Ministry of Finance | 712,890.00 | — |
Procurement Plan
None currently available.