World Bank commits $2billion of new support to Bangladesh

Assuring an increased lending to Bangladesh, World Bank Country Director Abdoulaye Seck on Tuesday (September 17) said the World Bank can mobilise about $2 billion new financing in this fiscal year to support critical reforms, flood response, better air quality and health.

Seck spoke about the new assistance when he met Chief Adviser Professor Muhammad Yunus at the state guesthouse Jamuna in Dhaka, reports UNB.

The World Bank is committed to increasing lending to Bangladesh in this fiscal year to help the reform agenda of the Interim Government, he said.

“We would like to support you as fast as possible and as much as possible,” Seck said, adding that the bank would support the critical financial needs of the country.

He said that in addition to the new commitments, the multilateral lender would repurpose about an extra one billion dollars from its existing programmes in consultation with the government in response to the calls for support by the Chief Adviser to all development partners of Bangladesh.

Seck said the extra lending would raise the amount of soft loans and grants the World Bank would be giving to Bangladesh this fiscal year to about 3 billion dollars once the funds from the existing projects are repurposed.

The World Bank country chief said the completion of the reforms would be “critically important” for Bangladesh and its young people, including the two million people who are joining the job market every year.

The Chief Adviser told the World Bank country head that the bank must have flexibility to fund Bangladesh’s reforms and help restart a new journey after 15 years of “extreme misgovernance.”

“Out of these ashes, we have to build new structures. We need a big push, and we have to focus on the dreams of the students,” he said.

“I will suggest, help us. Be a part of our team,” said the Chief Adviser.

Professor Yunus asked the World Bank to lend its technical support to recover billions of dollars of stolen assets siphoned off from Bangladesh by corrupt individuals during Sheikh Hasina’s 15-year-long dictatorship, according to Chief Adviser’s press wing.

“You have the tech to bring back stolen assets,” Prof Yunus said, adding Bangladesh would also need the bank’s expertise to build “a zero-corruption Bangladesh”.

The World Bank country chief has agreed to help Bangladesh bring back the stolen money. “We are happy to help you,” Seck said.

He said the bank would also like to help Bangladesh with data transparency, data integrity, digitalisation of tax collection, and financial sector reforms.

Professor Yunus said Bangladesh can’t afford to lose this once in a lifetime opportunity to fix its institutions and undertake major reforms.

“Once we lose it, it will never come back,” he said.

Seck offered condolences for the martyrs of the July-August student-led uprising.

He said he was impressed by the graffiti and murals painted by young people on Dhaka’s walls. “In 30 years of my career, I’ve never seen it anywhere,” he said.

“We need to empower them,” Seck said.