DHAKA: The European Union (EU) will grant 142 million euros in funding for Bangladesh's public financial management and social security. An agreement has been signed that Bangladesh is getting around Tk 1,334.08 crore (1 euro equivalent to Tk 98) as aid.

Economic Relations Department (ERD) Secretary Monowar Ahmed and Ambassador of the European Union to Bangladesh Rensje Teerink have signed the agreement on behalf of the respective side at the NEC conference room in the capital city of Sher-e-Bangla on Wednesday (July 23).

The programme of supporting to the implementation of the PFM Reform Strategic Plan, of EUR 10 million, aims at strengthening domestic revenue mobilisation and domestic accountability. The programme of support to NSSS reforms will provide EUR 130 million as budget support, linked to jointly-agreed performance indicators over the next 4 years. Both programs will be implemented from current period to 2023 onwards.

The EU reiterated its continued support for Bangladesh in achieving sustainable development goals and promoting middle-income countries through funding for two key programs - Budget Management and Social Security. 

In addition, these EU-funded programmes aim to contribute to implement two important sector strategies. 

The Public Financial Management Reform Strategy (PFM-RS) sets out the key goals and objectives of reforms in the sector and identifies priority actions. The National Social Security Strategy (NSSS) sets an important roadmap to enhance the governance, institutional capacity and accountability of the social security system to better serve the needs of poor and vulnerable Bangladeshis, along the life-cycle.   

After the deal signing, ERD Secretary Monowar Ahmed: "The Government of Bangladesh acknowledges the longstanding support of the EU in sectors as crucial as PFM and social security. We are looking forward to further strengthening our solid partnership with one of our key donors in Bangladesh and together making an important contribution to reaching the SDGs by 2030".

"Public financial management and social protection represent fundamental areas of collaboration for the EU in Bangladesh. As the country looks forward to the 8th Five Year Plan, they remain key priorities," said the Ambassador of the EU, Rensje Teerink. "The EU's contribution aims to address core elements of system strengthening and policy development. The focus will be on improving domestic resource mobilisation, promoting domestic accountability and enhancing delivery of social security to Bangladeshis in need – with the shared objective to leave no one behind."

BDST: 1420 HRS, JULY 24, 2019
RS/SMS