The World Bank approved USD 500 million in financing for Bangladesh to back a reform programme aimed at increasing transparency and accountability in public institutions and strengthening corporate governance and stability in the financial sector. The Strengthening Governance and Institutional Resilience Development Policy Credit supports reforms to improve domestic revenue mobilization by making tax administration and policy-making more transparent and efficient and moving to a more systematic approach to tax exemptions, including requiring parliamentary approval for all exemptions. Measures also include aligning financial reporting with international standards, strengthening corporate governance and risk management frameworks, and providing the Bangladesh Bank with a complete range of resolution powers to address vulnerabilities in the banking sector. In the public sector, reforms include requiring publication of all government project appraisal documents by 2027, mandating electronic government procurement with beneficial ownership disclosure and removal of price caps, strengthening the Office of the Comptroller and Auditor General’s auditing capacity, improving the independence of the Bangladesh Bureau of Statistics, and operationalizing a dynamic social registry to improve the effectiveness of cash transfer programmes.
World Bank 2025-06-20
World Bank approves USD 500 million financing to support governance reforms and financial sector stability in Bangladesh
The World Bank approved USD 500 million for Bangladesh to support reforms enhancing transparency in public institutions and strengthening corporate governance and financial stability. The initiative aims to improve tax administration, align financial reporting with international standards, and empower the Bangladesh Bank with resolution powers. Reforms include mandatory publication of government project appraisals, electronic procurement with ownership disclosure, and enhancing auditing and statistical capacities.