World Bank grants US$850m for Bay Terminal

Bangladesh and the World Bank signed two financing agreements totaling $850 million in April to help the country develop the Bay Terminal deep sea port and modernise the national social protection system to accelerate job creation and inclusive growth.

“To remain on a sustainable growth path, Bangladesh must create quality jobs for its population, particularly for the nearly 2 million youth who enter the labor market every year,” said Gayle Martin, World Bank Interim Country Director for Bangladesh. “This financing package will be a game changer for job creation by enhancing trade and export competitiveness and helping the most vulnerable graduate from social protection programs and get ready for the job market."

The Bay Terminal Marine Infrastructure Development Project ($650 million) will enhance Bangladesh’s export competitiveness by increasing port’s capacity and efficiency and reducing transportation costs and time. It will support essential infrastructure for port development, including a 6 kilometres climate-resilient breakwater and access channels. By accommodating larger vessels, the deep sea port will substantially decrease vessel turnaround time, potentially saving the economy about US$1 million daily.

The Bay Terminal will handle about 36 percent of Bangladesh’s container volumes, directly benefiting over one million people by improving access to sustainable transport services and enhancing connectivity to international markets. The project will also facilitate women-owned enterprises to explore trade opportunities and women’s employment in port operations.

The Strengthening Social Protection for Improved Resilience and Inclusion project will provide livelihood services for 4.5 million people.