The Swiss government will provide US$10 million in aid to help the country boost employable skills of the youth community, preparing them for the job market.
The fund has been confirmed Monday through signing a deal. The Asian Development Bank (ADB) will administer the funds.
The assistance is part of the $30 million grant Switzerland has planned to contribute to the Skills for Employment Investment Programme costing US$1.07 billion.
The investment programme is being implemented by Bangladesh through the Ministry of Finance. The programme will have three phases and will be implemented over seven years.
In addition to $30 million from the Switzerland, the ADB will provide $350 million, $400 million from other development partners (yet to be confirmed), $90 million from the Bangladesh's private sector and the rest $200 million from the government's own exchequer. The first tranche of the ADB loan is $100 million.
Joint Secretary of the Economic Relations Division (ERD) Saifuddin Ahmed and Country Director of ADB's Bangladesh Resident Mission signed the agreement Monday in the city.
Siroco Messerli, Deputy Director of Cooperation of the Swiss Agency for Development and Cooperation, Dhaka attended the event.
The first phase of the programme will target 40,000 women and disadvantaged people, including those with disabilities. It will also support 32 public training institutions under Ministry of Education, Ministry of Expatriates' Welfare and Overseas Employment, and Ministry of Industries; nine industry associations, Palli-Karma Sahayak Foundation and Bangladesh Bank.
The programme will equip over 1.25 million youths with employable skills by 2021 through a strong involvement of the private sector. It will also support skills training in 15 priority sectors, starting with six sectors: garments and textiles, leather, construction, light engineering, information technology, and shipbuilding. A major target of the programme is to boost job placement to around 70 per cent from about 40 per cent now through performance based funding.
"The assistance provided by the Government of Switzerland will support Bangladesh's efforts to become a middle-income country by raising worker's skills, productivity and income," said Country Director Kazuhiko Higuchi.
"Through the grant, the Skills for Employment Investment Program will benefit from the experience and expertise of the Swiss Agency for Development and Cooperation in skills development."
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