WASHINGTON, June 23, 2021 -The World Bank’s Board of Executive Directors today approved a $35 million Development Policy Credit to support Bhutan’s efforts to alleviate the health, social and economic impact of COVID-19, and sustainable and inclusive growth in the aftermath of the pandemic.
“COVID-19 has significantly affected Bhutan’s economy and people’s livelihoods “, stated Mercy Tembon, World Bank Country Director for Bangladesh and Bhutan. “Through this operation, we provide direct support to the relief and resilient recovery efforts of the country.”
The Bhutan COVID-19 Crisis Response Development Policy Credit will help strengthen economic resilience and environmental sustainability through a focus on domestic resource mobilization, debt transparency and management. It will also support immediate relief measures through actions aimed at providing credit to the private sector, establishing the institutional framework to distribute COVID-19 vaccines, and mitigating the risks of gender-based violence.
The operation builds on the previous “Strengthening Fiscal Management and Private Sector Employment Opportunities” Development Policy Credit series, which supported critical reforms focused on fiscal management and growth and was approved in April 2020.