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National

Discovering the Array of Cash Assistance Programs in Bangladesh

by Press Xpress December 31, 2023
written by Press Xpress December 31, 2023
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Key highlights:

  • As an immediate response to Covid-19, a one-time cash support program was launched, earmarking Tk2500 for 5 million low-income families in both urban and rural areas
  • In FY 2016-2017, Tk. 2,196.06 crore supported 1.85 lakh freedom fighters with varying monthly honorariums
  • ‘Education Scholarship Programme for Students with Disabilities’ in the fiscal year 2007-2008 under the Ministry of Social Welfare was launched
  • In FY 2016-2017, Tk. 86.40 crore supported non-government orphanages, benefiting around 82 thousand orphans

A variety of safety net initiatives, including cash or in-kind transfers, public works, and incentive schemes, play crucial roles in numerous countries. Cash assistance programs are being adopted by a growing number of nations, effectively narrowing the poverty gap and enhancing the well-being of the most vulnerable.

In response to the challenges posed by COVID-19, the Government of Bangladesh dedicated substantial resources to the implementation of a diverse range of social program as well. Bangladesh’s government reaffirmed its dedication to aiding those impacted by the COVID-19 pandemic, implementing a series of cash assistance initiatives. As an immediate response in 2020, a one-time cash support program was launched, earmarking Tk2500 for 5 million low-income families in both urban and rural areas.

Initiated by Prime Minister Sheikh Hasina, the program’s objective was to allocate Tk. 12.50 billion for extending financial aid to vulnerable demographics, such as rickshaw pullers, day laborers, and agricultural workers profoundly impacted by the pandemic. Furthermore, each of the identified 50 lakh families received 20 kilograms of rice, with provisions for extensions in case the pandemic persisted beyond May.

255,000 individuals get Tk.127 crore boost from Government’s RELI Project

In 2022, the government sustained its commitment to support those affected by the COVID-19 pandemic. Finance Minister AHM Mustafa Kamal inaugurated the distribution of Tk. 127 crore as financial incentives among 255,000 poor and extremely poor individuals impacted by the pandemic. Each beneficiary received Tk5,000 directly to their mobile numbers under the Resilience, Entrepreneurship, and Livelihood Improvement (RELI) Project of the Social Development Foundation (SDF).

By 2022, it reached over 750,000 direct beneficiaries, focusing strongly on women, and covered 3,200 villages in 20 districts. The project contributed to the economic recovery of affected individuals and supported rural development by providing financial assistance to those who had fallen into poverty due to the ongoing pandemic.

Dual Programmes for Freedom Fighters and Martyrs

The Honorarium Programme for Freedom Fighters pays homage to the heroes of Bangladesh’s independence struggle. In FY 2016-2017, Tk. 2,196.06 crore supported 1.85 lakh freedom fighters with varying monthly honorariums. The highest, Tk. 30,000, went to Birshrestha, followed by Biruttom (Tk. 25,000), Birbikram (Tk. 20,000), and Birprotik (Tk. 15,000).

In FY 2021-2022, the allocation rose to Tk. 4,603.35 crore and increased further to Tk. 4,653.35 crore in FY 2022-2023. Special allowances were also granted during Victory Day and Bangla New Year.

With a steadfast commitment to the welfare of families of martyrs and war-wounded freedom fighters, the government has also implemented specific initiatives, allocating Tk. 245.91 crore in FY2016-2017. In FY 2021-2022, the allocation surged to Tk. 4,603.35 crore, and for FY 2022-2023, it has been raised to Tk. 472.45 crore for the 0.13 lakh beneficiaries.

Stipends for Specially-abled Students and the Insolvent Disability Allowance Programme

The government implemented the Insolvent Disability Allowance Programme to provide financial support to individuals with physical disabilities, aiming to assist those facing financial challenges. This initiative commenced in the fiscal year 2005-2006, extending a monthly allowance of Tk. 200 to 1,04,166 disabled individuals. Over the years, the number of recipients has surged to 23.65 lakh.

In the fiscal year 2022-2023, the monthly allowance for those initially receiving Tk. 750 was raised from Tk. 750 to Tk. 850. The total budget allocation for this program in FY 2022-2023 is Tk. 2,429.18 crores.

To enhance the educational opportunities for children with disabilities and encourage their active involvement in national development through higher education, the Government introduced the ‘Education Scholarship Programme for Students with Disabilities’ in the fiscal year 2007-2008 under the Ministry of Social Welfare.

Initially benefiting 12,209 individuals, the program received a budget of Tk. 47.88 crore for stipends in FY 2016-2017, reaching approximately 0.80 lakh students. Furthermore, Tk. 12.50 crore was allocated to provide grants to schools catering to disabled students.

In the fiscal year 2022-2023, the program extends monthly stipends of Tk. 750 at the primary level, Tk. 800 at the secondary level, Tk. 900 at the higher secondary level, and Tk. 1,300 at the higher education level. The number of stipend recipients has now grown to 1 lakh, with a budget allocation of Tk. 95.64 crore.

Capitation Grants Changing Orphanage Dynamics

Private orphanages registered with the Department of Social Services are eligible for a capitation grant, covering 50% of orphans in institutions with a minimum of 10 residents. In FY 2016-2017, Tk. 86.40 crore supported non-government orphanages, benefiting around 82 thousand orphans.

The budget for FY 2022-2023 allocates Tk. 280 crore, with a disbursed capitation grant of Tk. 140 crore. From July 2022 to December 2022, each individual orphan receives Tk. 2,000, supporting the well-being of 1,16,666 residents in 4,143 private orphanages.

As Bangladesh charts its course towards sustainable development, these varied and impactful initiatives highlight the government’s dedication to building an inclusive society where no one is left behind. The stories of resilience, empowerment, and support outlined here illuminate the strides made in improving the well-being of the most vulnerable, showcasing a nation moving forward with compassion and determination.

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