Dhaka, January 8, 2026 (PR) - The Governments of Bangladesh and Germany have signed grant agreements worth a total of €21.77 million for five development projects proposed by GIZ (Deutsche Gesellschaft für Internationale Zusammenarbeit).
The projects include 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 agreements were signed on Thursday at the Economic Relations Division (ERD) in Sher-e-Bangla Nagar, Dhaka. On behalf of the Government of Bangladesh, Md Shahriar Kader Siddiky, Secretary of ERD, signed the agreements, while Mr Heinrich-Juergen Schilling, Country Director of GIZ Dhaka Office, signed on behalf of the German Government.
The PAP II project will be implemented under the Power Division of the Ministry of Power, Energy and Mineral Resources from 1 August 2025 to 31 July 2029. Germany has allocated €9 million in grants for this project, which aims to improve institutional, economic, and human resource conditions to enable a socially just and environmentally sustainable energy transition.
The INTEGRATE project will be implemented through the Department of Social Services under the Ministry of Social Welfare from 1 October 2023 to 30 September 2027, with a grant allocation of €4.8 million. The funding will be used to promote the economic empowerment of women, including persons with disabilities who have been affected and displaced by climate change–induced natural disasters, as well as women living in host communities.
The PRECISE project will be implemented under the Technical and Madrasa Education Division of the Ministry of Education, through the Directorate of Technical Education and the Bangladesh Technical Education Board, from 1 July 2025 to 30 June 2029. Germany has allocated €7 million in grants to enhance the capacity of the Technical and Vocational Education and Training (TVET) sector in Bangladesh.
The GRACE project will be implemented under the Ministry of Environment, Forest and Climate Change from 1 August 2025 to 31 July 2028, with a grant allocation of €0.8 million. The project aims to promote the adoption and expansion of climate-friendly and energy-efficient room air-conditioning (Green AC) as part of national policy initiatives.
For the DS2S project, the German Government has approved an additional grant of €0.175212 million and extended the project duration until December 2026. The original regional project, with a grant of €0.382526 million, has been under implementation by the Secondary and Higher Education Division from January 2023 to December 2025. The project seeks to expand employment and job opportunities in the growing labor market of Asia through ethics-based digital and technical skills development.
Germany has been a long-standing development partner of Bangladesh. Since 1972, Germany has committed nearly €4 billion in financial and technical assistance to Bangladesh. Currently, GIZ is supporting 18 projects in Bangladesh with grants totaling €100.72 million.
