Recovery and Advancement of Informal Sector Employment (RAISE) Project
Project Name: Recovery and Advancement of Informal Sector Employment (RAISE)
Project Period: July 2025 – Continue
Donor Name: PKSF and World Bank
Project Location: Chattogram City Corporation, Hathajari, Patiya, Anwara, Banshkhali Upazilla of Chattogram district, and Niamatpur Upazilla of Naogaon district
Target Beneficiaries: Youth (18–35 years) from poor and low-income households and from marginalized communities. [ Total beneficiaries: 944 ; 448(Male) and 496 (Female)]
Objective: To enhance employability and improve productivity in the informal sector through providing financial assistance, life-skills, entrepreneurial skills and technical skills to low-income youths and micro-entrepreneurs in urban and peri-urban areas.
Major activities:
- Apprenticeship training and assessment for low income youth
- Training for low income youth and Micro entrepreneurs
- Training for Covid-19 or other shock affected Micro entrepreneurs
RAISE Project Profile
Background:
In 2018, the World Bank in association with PKSF, carried out a Gap Analysis Study in order to identify the gaps in the services provided under the micro-enterprise programs/projects so that these could be properly addressed. From this study, it was found that the micro-enterprises in the informal sector are constrained by lack of skills of the entrepreneurs including life-skills, entrepreneurial skills and technical skills; lack of access to finance especially for the start-ups and those entrepreneurs are falling behind; use of low-technology which causes lower productivity; and substantial gender gaps in labour market outcomes among others. In addition to that, many skilled youths including females prefer to be self-employed; however, due to lack of business knowledge and start-up capital constraints they are unable to do so. The need for targeted labour market programs for those in the informal sector, especially urban and peri-urban youth, has been made more urgent by the recent COVID-19 crisis, due to the urban and peri-urban informal sector being disproportionately affected by the COVID related shocks. In this context, PKSF has undertaken the ‘Recovery and Advancement of Informal Sector Employment (RAISE)’ Project in February 2022 jointly financed by the World Bank and PKSF. The RAISE project aims to enhance employability and improve productivity in the informal sector while providing financial assistance to 225,500 low-income youths and micro-entrepreneurs in urban and peri-urban areas across the country. PKSF is implementing the project through its 89 partner organizations (POs). Ghashful is one of the PO implanting this project at Chattogram and Naogaon.
Overall Objective: The overall objective of the project implemented by PKSF is to enhance the access to earning opportunities for low-income youth, including COVID-affected youth in urban and peri-urban areas.
Specific Objectives:
Economic Inclusion Programs under the RAISE Project
The project aims to enhance economic inclusion of low-income youth and micro-entrepreneurs in urban and peri-urban areas. The services include skill-acquisition through informal apprenticeship, business management training, and access to credit, among other interventions. The project participants are low-income, less educated youth living in urban and peri-urban areas. The potential path of a participant for the economic inclusion program can be illustrated as follows.
Inclusive Finance: COVID-affected micro-entrepreneurs who were previous borrowers of the PO and are in need of financial assistance will receive inclusive finance on easy terms under the project to restore their enterprise/business. The project is also providing inclusive finance for the expansion of microenterprises by young micro-entrepreneurs. In addition, the project will finance new microenterprises by the apprentices who have successfully completed the apprenticeship program under the project. The master craftspersons (MCPs) included in the project will be eligible for loans.
Capacity Enhancement
Business Management and Entrepreneurship Development (BMED) Training for Young Micro-entrepreneurs: 84% of total labour force is engaged in the informal sector (Labour Force Survey 2023). Taking into account the importance of this sector, PKSF will provide training on Business Management and Entrepreneurship Development to young micro-entrepreneurs who are lagging behind in order to develop their capacities on Risk Management & Business Continuity, Life-skills Development, Generic Business Management and Occupation specific Technical Skills Development.
Apprenticeship Program: ‘Ustad-shagred’ system is a centuries old system of transferring skills from generation to generation and is mutually beneficial for both ustads (masters) and shagreds (apprentices). Under this project, youth from low-income households will be matched with skilled and experienced Master Craftsperson (MCP) selected by the POs according to the eligibility and selection criteria to host an apprentice. The apprentice will receive on-the-job training under the MCP and will also receive Life-skills Development training from a skilled trainer in order to develop his/her capacity to ensure sustainable wage employment.
Risk Management and Business Continuity (RMBC) Training for Micro-entrepreneurs Affected by COVID-19/other Shocks: In order to develop the capacities of these micro-entrepreneurs, they will be provided training on Risk Management and Business Continuity. Informal sector micro-entrepreneurs are exposed to various risk factors including man-made and natural disasters but do not usually have the capacity to deal with those. Through this training, the micro-entrepreneurs will learn how to incorporate risk management, coping, and business continuity in the event of a shock. This will help the local youth build their capacities to secure sustainable employment for themselves which will, in turn, help them to support their families and contribute to national economy.