Enterprise Growth & Bank Modernization

closed

Closed

The objectives of the project are: (i) to trigger employment generation through private sector enterprise growth and urgently needed reforms within the State Owned Enterprises (S0Es) as part of a wider reform of rolling back state ownership and control within the economy; and (ii) to help Bangladesh implement its banking sector reform program aimed at achieving a competitive private banking system by a staged withdrawal through corporatization leading to divestment of a substantial shareholding in Rupali, Agrani and Janata, and to divestment of a minority shareholding in Sonali. The project has the following five components. Component 1) Seeks to support the development of the small enterprise sector by addressing the constrains that hinder access to finance by this sector of entrepreneurs. Component 2) The inefficient and frequently resource wasting SOEs need to be substituted by private enterprises that invest efficiently, generate productive employment opportunities, and thus become an important engine for growth within the economy. Component 3) Equally important to the growth agenda will be the role of the public enabling institutions which encourage investment in Bangladesh (both domestic and foreign); the role of the privatizing authority, and the export processing zones. Component 4) Will continue the assistance initiated under the World Bank's Development Support Credit (DSC) which supported much of the first tranche of 28 SOE closures in 2001-02. I t is designed to cover the Voluntary Retirement Scheme (VRS) costs to the Government of a second tranche of about 95 enterprises slated for closure/privatization over the period 2002-03 to 2007-08. Component 5) Providing adequate counseling and re-training support to retired workers are also important social priorities under the project.

FY17 - Financial Sector,FY17 - Industry, Trade and Services,FY17 - Public Administration,FY17 - Social Protection

World Bank Group

Project

Commercial, Government