EU transfers €35m to Bangladesh to strengthen social security

The European Union (EU) has transferred €35 million to Bangladesh to help strengthen the country's national social protection reforms, in line with the National Social Security Strategy 2015 and its action plans.

The payment was made against the government's progress in achieving the targets within the framework of the EU budget support operation (2019-2025) in social protection, amounting to €247 million, said a press release on 4 April.

According to the press release, the EU budget support aids partner countries in implementing policy and public finance systems, improving government accountability, and accelerating social reforms based on their commitments and priorities.

In the 2021-22 FY, the Bangladesh government fulfilled its commitments by enhancing its social protection institutional arrangements. This involved increasing the number of beneficiaries paid through the Government to People (G2P) system and expanding the Single Registry for improved targeting and monitoring of beneficiaries.

The government expanded the Mother and Child Benefit Programme by 20% bringing the total number of beneficiaries from 1.045 million in 2021-22 FY to 1.254 million in 2022-23 FY. It also launched the first employment injury insurance scheme in Bangladesh.

This scheme will provide financial coverage for all workers in the 100% export-oriented apparel industry in Bangladesh, for long-term benefits in the event of death and permanent disability arising out of the workplace accident and injuries, the press release reads.

EU Ambassador to Bangladesh Charles Whiteley said "I commend the important progress of the government of Bangladesh in achieving the agreed budget support targets and especially the decision to increase investment in the early years and to develop a government-owned workers' database."

"The EU will keep working hand in hand with Bangladesh to increase its domestic resource mobilisation and strengthen a sustainable national social protection system to enhance people's resilience in times of crisis and shocks," he added.