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HomeEconomyGermany pledges €21.77m in grants for five projects in Bangladesh

Germany pledges €21.77m in grants for five projects in Bangladesh

The German government will provide €21.77 million in grant support to Bangladesh for the implementation of five projects spanning energy efficiency, urban integration and industrial safety.

Grant agreements were signed on Thursday at the Economic Relations Division (ERD), according to an official statement.

On behalf of the Bangladeshi government, ERD Secretary Md Shahriar Kader Siddiky signed the agreements, while Heinrich-Juergen Schilling, country director of GIZ Dhaka, represented the German government.

The five projects proposed by GIZ are: Policy Advisory for Promoting Energy Efficiency and Renewable Energy (PAP) II; Strengthening Urban Integration Capacities of Internally Displaced Persons and Supporting Host Communities (INTEGRATE); Professional Education in Industrial and Environmental Safety (PRECISE); Green Room Air-Conditioning (GRACE); and Digital Skills to Succeed in Asia (DS2S).

The PAP II project will be implemented by the Power Division under the Ministry of Power, Energy and Mineral Resources from 1 August 2025 to 31 July 2029. Germany has allocated €9 million for the project, which aims to improve institutional, economic and human resource conditions to support a socially just and environmentally sustainable energy transition.

The INTEGRATE project will be carried out by the Department of Social Services under the Ministry of Social Welfare from 1 October 2023 to 30 September 2027, with a German grant of €4.8 million. The project seeks to promote the economic empowerment of women, including persons with disabilities, affected by climate change–induced displacement.

The PRECISE project will be implemented by the Directorate of Technical Education and the Bangladesh Technical Education Board under the Ministry of Education’s Technical and Madrasa Education Division from 1 July 2025 to 30 June 2029. Germany has allocated €7 million to strengthen the capacity of Bangladesh’s technical and vocational education and training (TVET) sector.

The GRACE project, funded with a €0.8 million German grant, will be implemented by the Ministry of Environment, Forest and Climate Change from 1 August 2025 to 31 July 2028. A global initiative, the project aims to promote climate-friendly and energy-efficient room air-conditioning solutions through national policy frameworks.

Under the DS2S project, Germany has approved an additional grant of €0.18 million and extended the project’s duration until December 2026. The regional initiative has been implemented by the Secondary and Higher Education Division since January 2023, with earlier grant support of €0.38 million, and aims to boost employment opportunities across Asia through ethics-based digital skills development.

Germany has been a long-standing development partner of Bangladesh. Since 1972, total German financial and technical assistance to the country has amounted to around €4 billion. Currently, GIZ is providing €100.72 million in grant support for 18 projects in Bangladesh.

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