World Bank greenlights USD 100M project to boost skill development, employment for women and youth in Sikkim
Dec 22, 2023
New Delhi [India], December 22 : The World Bank's Board of Executive Directors has given its nod to a transformative initiative aimed at upskilling and providing job opportunities for 300,500 women and youth in India's northeastern state of Sikkim.
According to the World Bank, the USD 100 million Sikkim: Integrated Service Provision and Innovation for Reviving Economies (INSPIRES) Operation aims to foster growth and development by focusing on non-farm sectors, including renewable energy, IT services, tourism, hospitality, wellness care, and creative design.
Sikkim, recognized as one of the fastest-growing states in India, is determined to diversify its workforce. Currently, over 40 per cent of youth are engaged in agriculture, but with the state's growing manufacturing and services industry, the emphasis is now on providing training and opportunities in high-growth sectors.
The INSPIRES Operation will establish an Employment and Entrepreneurship Promotion Facility, fostering partnerships with private-sector firms, central agencies, and business associations.
Auguste Tano Kouame, the World Bank's Country Director for India, highlighted the project's exclusive focus on job creation and the removal of barriers for women and youth in Sikkim to enter priority sectors.
He said, "This project will solely focus on jobs, and it will aim to remove barriers for women and youth in Sikkim to join the priority sectors and be a part of the state and nation's growth story. This initiative will be supported by career counselling, migration services and mental health management to make the challenges of job transition easier."
To align with the aspirations of Sikkim's youth, who express interest in sectors like renewable energy and IT, the program will organize bootcamps, implement a workplace safety management system, and provide transport allowances and business development support.
The project also includes staff training and capacity building in public procurement across key state departments.
Kanchan Rajeevsingh Parmar, Benedicte Leroy de La Briere, and Anna O'Donnell, the Task Team Leaders for the operation, outlined the comprehensive approach, saying, "To meet the aspirations of women and youth who want to work in the manufacturing and services sector, the Program will organize bootcamps, create a workplace safety management system, and provide transport allowance and business development support."
The financing structure for the program involves a $100 million loan from the International Bank of Reconstruction and Development (IBRD), utilizing the blended financing instrument of Program-for-Results (PforR) with Investment Project Financing (IPF).
This approach links fund disbursement directly to the achievement of results while providing technical assistance.
The loan has a maturity of 14 years, including a grace period of five and a half years, aligning with the project's long-term goals for skill development and employment generation in Sikkim.
