Bangladesh Second Recovery and Resilience DPC

The objectives of the Second Recovery and Resilience Development Policy Credit Program for Bangladesh are to (i) strengthen fiscal and financial sector policies to sustain growth and (ii) enhance resilience to future shocks, including climate change. The operation is the second in a two-part series. This operation will strengthen the post-pandemic economic recovery while helping Bangladesh prepare for least-developed country (LDC) graduation in 2026, after which the country will gradually have reduced access to concessional financing and preferential export market access. The operation will also strengthen resilience against future shocks, including climate change, by expanding the coverage and efficiency of social protection programs and supporting the transition to a larger share of renewable energy. The R&R DPC series builds on the Jobs DPC series completed in FY2021, which supported the initial COVID-19 response, and complements the concurrent Green and Climate Resilient DPC (GCRD) series. The Program consists of three pillars covering fiscal policies, financial sector reforms, and policies to strengthen resilience to future shocks. The Program draws on extensive advisory and analytical reports to underpin proposed reforms. The selection of prior actions in each reform area reflects measures to support a near-term economic recovery while laying foundations to support a transition to upper middle-income status. Across these three pillars, the Program contributes to the World Bank’s mission of ending extreme poverty and boosting shared prosperity on a livable planet. A waiver of the requirement set out in footnote 9 of BP 8.60: Development Policy Financing has been granted for this programmatic series. Footnote 9 of BP 8.60 provides that a programmatic series is considered to have lapsed 24 months after the Executive Directors approve the previous operation in the series. The waiver extends the period that the IDA Board may consider the programmatic series from...