DHAKA,June 9,2022 (BSS) - The Asian Development Bank (ADB) today approved a
$250 million policy-based loan to support social protection reforms in
Bangladesh designed to protect the vulnerable population against
socioeconomic challenges.
The loan will finance Sub-program 2 of the Strengthening Social Resilience
Program and build on the first subprogram which implemented institutional and
policy reforms that strengthened the inclusiveness and responsiveness of
social protection in Bangladesh, said a press release.
ADB Principal Social Sector Specialist for South Asia Hiroko Uchimura-
Shiroishi said, "The Covid-19 pandemic highlighted the need to strengthen
social protection systems to help people cope and manage disasters and
crises,"
"This subprogram continues ADB's support to improve the coverage and
efficiency of social protection programs in Bangladesh, build resilience of
the disadvantaged, and support an inclusive recovery," he added.
Under the new program, 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 digitalization and
integration of systems as well as harmonization 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 programs 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.