Bangladesh : Strengthening Social Resilience Program (Subprogram 1)

Finance / Inclusive finance

Health / Health system development

Public sector management / Social protection initiatives

The proposed program aims to support the Government of Bangladesh in strengthening the social resilience of its people. The programmatic approach, consisting of two subprograms, is proposed to design and support sequenced policy packages and to enhance the inclusiveness and responsiveness of social development in Bangladesh

Bangladesh has had considerable success in reducing poverty, lowering the poverty incidence from 48.9% in 2000 to 20.5% in 2019. However, while many people were lifted from extreme poverty, a considerable number continue to live at a subsistence level barely sustained by day work. These are the people who are highly vulnerable to shocks such as major illnesses and external events, including disasters triggered by natural hazards.

The coronavirus disease (COVID-19) pandemic significantly affected the socioeconomic situation of Bangladesh. The growth rate of its gross domestic product (GDP) decreased by 3% in 2020, from a pre-COVID-19 estimate of 8.2%. Among those hit hardest by the pandemic are poor people who faced further impoverishment, and many vulnerable people who fell back into poverty.

Continued social protection support is critical to cushioning the effects of the pandemic. The government intends to leverage the COVID-19 pandemic as an opportunity to strengthen its social protection programs as an essential means of building the resilience of the poor; supporting inclusive recovery; and working toward faster, sustainable, and resilient development.

The program is aligned with the country partnership strategy, 2016-2020 of the ADB for Bangladesh, which prioritizes investments in human capital through social programs and improved rural livelihoods; and with the operational priorities of ADB's Strategy 2030, particularly 1-addressing remaining poverty and reducing inequalities, 2-accelerating progress in gender equality, and 6-strengthening governance and institutional capacity. The program will (i) have direct positive impacts on poor, vulnerable women and men by improving the coverage of key social protection programs, (ii) contribute to gender equality by ensuring the consideration of gender-specific needs in urban health planning, and (iii) strengthen the institutional capacity for social protection by reforming the administration and management of social protection programs.

Social resilience of people strengthened (National Social Security Strategy of Bangladesh, 20212025)

Responsive, inclusive, and efficient social development enhanced