World Bank approves $295 million in loans for strategic ecosystem management in Argentina
The Board of Directors of the World Bank today approved two loans totaling $295 million to promote the inclusion of vulnerable groups in the labor market and support the sustainable management of the country’s strategic ecosystems.
“We are committed to ensuring that the recovery that the Argentine economy is experiencing reaches all our citizens, and within a framework of sustainability, we are committed to promoting vocational education, vocational training and formal employment for those who have the most difficulty accessing and remaining in the labor market,” said Claudio Moroni, Minister of Labour, Employment and Social Security of the Argentine Republic.
The $250 million “Promoting Better Jobs through Integrated Workforce and Skills Programs” project aims to improve employability and strengthen the quality and availability of training, with a focus on women, young people, men over 45 and members of certain vulnerable groups. groups (including indigenous peoples, people of African descent, people with disabilities and LGTBI+ people), who have the highest rates of unemployment, underemployment and informality.
“These first two projects are part of our support for 2022. From the World Bank, we are supporting Argentina’s efforts to move towards inclusive growth. For this, it is crucial to increase quality job opportunities for those most affected by the crisis, and at the same time to promote a green recovery, which improves the resilience of ecosystems and local communities,” said Jordan Schwartz, World Bank Country Director for Argentina, Paraguay and Uruguay.
This funding supports the new job promotion scheme, created by the national government in November 2021 to benefit some 600,000 people seeking to enter the labor market, with a focus on women. A central area of the project will be career guidance and job search assistance, as well as the provision of vocational training, including skills development in sectors with high growth potential (e.g. jobs in digital economy, climate-resilient and low-carbon jobs, etc.). The most vulnerable people will be eligible for an economic allowance to participate in the program.
The $45 million Sustainable Landscapes and Livelihoods Recovery Project in Argentina will help improve ecosystem management and resilience in 13 landscapes and seascapes vulnerable to climate change, while increasing opportunities for local communities. Additionally, the country will receive a $12 million grant from PROGREEN, the Global Partnership for Sustainable and Resilient Landscapes.
The project aims to increase the climate resilience of landscapes such as the Yungas, Paraná Rainforest, Chaco Forest, Patagonian Glaciers and Southern Oceans through land use planning, habitat conservation and building infrastructure, among others. More than 15,000 people from communities within the project’s area of influence are expected to benefit directly, and some six million people could benefit from increased local economic activity, including tourism.
In order to promote investments in the forest landscapes of northern Argentina most threatened by deforestation and poverty, the project will receive a grant from the PROGREEN partnership.
The Promoting Better Jobs through Integrated Workforce and Skills Programs project has a variable-averaging loan repayable over 32 years, with a seven-year grace period. The Sustainable Landscapes and Livelihoods Recovery Project also has a variable-margin loan, with a 34-year maturity and a seven-year grace period.