World Bank Approves $1.1 Billion in Emergency Assistance for Bangladesh

The World Bank has approved $1.1 billion (roughly Tk 13,200 crore) in emergency assistance for Bangladesh to secure food supplies, sustain agricultural production, and protect livelihoods amid volatile global fertilizer and energy markets.

The financing was confirmed in a World Bank release on Friday, June 26.

"This assistance will ensure the supply of fertilizer needed for rice production, protect people's livelihoods and employment, and help continue emergency services," said Jean Pesme, World Bank Country Director for Bangladesh and Bhutan.

Of the total funding, $300 million (Tk 3,600 crore) is allocated to the Emergency Support for Food Security Project. These funds will cover essential fertilizer imports for the upcoming Aman (July–October 2026) and Boro (October 2026–April 2027) planting seasons.

With Bangladesh relying on imports for over 85% of its fertilizer, the project will fund 600,000 tons of key fertilizers—half of which is urea. This critical supply will enable smallholder farmers to continue cultivating approximately 1.4 million hectares of land.

Suleman Coulibaly, the project’s task team leader and World Bank Chief Economist, noted that the Aman and Boro seasons account for 90% of Bangladesh’s rice production. Because agriculture supports nearly half the population, any disruption in fertilizer supply would severely impact national food security, employment, and poverty levels.

Additionally, $713 million (Tk 8,556 crore) will be channeled through the Contingent Emergency Response Project. These rapidly disbursed funds will provide cash assistance and livelihood recovery for affected families and small-to-medium enterprises (SMEs). It will also subsidize the energy sector to maintain essential public services, including healthcare, medicine production, water, and electricity. Full disbursement of this segment is expected by June 30.

By repurposing unused funds from existing projects, this initiative allows for rapid financial access to shield citizens, businesses, and jobs from immediate economic shocks, explained Leslie Jeanne U. Cordero, a World Bank disaster risk management specialist.