The World Bank has approved a $200 million initiative to enhance Bangladesh's social protection system. This funding aims to benefit over 3 million impoverished citizens in the country. The Strengthening Social Protection for Improved Resilience, Inclusion and Targeting (SSPIRIT) project is set to be implemented in collaboration with Bangladesh's Ministry of Social Welfare and Ministry of Finance.
This project will focus on developing an integrated social protection platform targeting the poorest and most vulnerable groups across different life stages. At least half of the beneficiaries will be women, with specific attention given to youth, persons with disabilities, injured individuals, and women from regions susceptible to climate change.
"Bangladesh spends 3 percent of its GDP on social protection. Yet, nearly half of the poor households do not receive any social protection benefits," said Gayle Martin, interim Country Director for World Bank Bangladesh. She emphasized the need for modernization within the country's safety nets like old age and widow allowance programs to improve targeting. A Dynamic Social Registry is also planned to enable real-time inclusion of new beneficiaries in response to economic or climatic shocks.
The SSPIRIT project will support creating a national Dynamic Social Registry that ensures evidence-based targeting for cash transfers and employment services. It aims at reducing transaction costs for the government while linking existing beneficiary databases.
Shrayana Bhattacharya, World Bank Senior Economist and Task Team Leader of the project stated: "By combining cash support with skills development and livelihoods support, we're helping vulnerable households build sustainable pathways out of poverty." The initiative includes economic inclusion services such as financial incentives, tailored skills training, and mentorship programs.
This effort builds on previous World Bank projects like Cash Transfer Modernization Project and Safety Nets Systems for the Poorest Project in Bangladesh. Since its independence, Bangladesh has received more than $45 billion from the World Bank through various financing forms aimed at supporting its development goals.