Ambassador of the European Union (EU) to Bangladesh Michael Miller on Tuesday said investing in strong and inclusive social protection systems is vital to promoting prosperity, stability and social cohesion as Bangladesh moves toward graduation from Least Developed Country status.
He said social protection is about respect, dignity, and resilience.
"It helps people navigate life’s uncertainties. It also helps rebuild public trust in state institutions," said the Ambassador.
The European Union (EU) has disbursed EUR 23.5 million to the government of Bangladesh to support improved social protection.
This grant financing recognises progress and encourages further efforts to implement the National Social Security Strategy, notably for Bangladesh’s most vulnerable citizens, despite facing a series of challenges, including high inflation and job losses in the garment sector.
The EU is Bangladesh’s long-term partner for improved social protection, a priority issue for the country’s inclusive economic development.
Since 2019, the EU has provided EUR 285 million in grants for social protection, including EUR 20 million from Germany, according to the EU Embassy in Dhaka.
EU envoy hopes for restoration of democracy in Bangladesh: Khosru
Another EUR 15 million is being provided to help implement reforms through technical assistance, said the Embassy on Tuesday.
With this financing, the EU helped Bangladesh pay over 90 percent of cash benefits directly into people’s accounts through the digital Government-to-Person system.
A Single Registry has been launched, linking more than 30 programmes, which improve transparency, reduce duplication, and ensure better targeting.
A Labour Information Management System is under development and already includes data for over 650,000 workers across the formal and informal sectors.
The Employment Injury Scheme pilot is now providing lifelong pensions in cases of workplace or commuting accidents and is expanding to more sectors, including export processing zones.
Moreover, for the first time, over 1,200 unemployed workers from one factory have received benefits under the government’s unemployment support programme.
The EU encouraged the government of Bangladesh to reaffirm its commitment to essential reforms by adopting a renewed National Social Security Strategy beyond 2026.
The revised strategy should prioritise improved targeting, better responsiveness to urban and climate-related challenges, and the development of sustainable long-term financing solutions, said the EU.
The EU also supports concrete steps to make the social protection system more inclusive and effective.
Key measures include linking the Finance Division’s Single Registry MIS with other national databases, such as the Tax Identification Number (TIN) and Savings Certificate systems, and enhancing the Social Protection Programme for Unemployed and Distressed Workers, enabling direct registration for eligible individuals.
Bangladesh's RMG exports to EU reach $8.07 billion in Jan-Apr 2025
In addition, the EU called for the strengthening of contributory schemes for working-age populations and for improvements in the quality of service delivery, to help ensure that all citizens have access to adequate social protection throughout their lives.
The EU underlined the importance of addressing macroeconomic and public financial management challenges, in particular by enhancing domestic revenue mobilisation, which remains notably low.
It highlighted the need to safeguard human rights and encourages greater policy oversight by civil society actors.
This support is part of the EU’s Global Gateway strategy and the Team Europe Initiative on Decent Work, which brings together more than 50 programmes and EUR 500 million in combined funding to promote labour rights, skills, and social protection in Bangladesh.