(Web Desk) - The British Asian Trust, along with prominent British Asian business leaders and the Punjab Skills Development Fund (PSDF), has officially sealed a significant agreement at the British Deputy High Commission in Karachi.
This partnership solidifies their commitment to establish Pakistan’s inaugural Employment Impact Bond, aimed at addressing the country’s pressing human capital challenges hindering its economic growth and global competitiveness.
The Employment Impact Bond aims to secure 40,000 jobs for young individuals in key sectors, emphasizing long-term employment outcomes and attracting new capital for social impact initiatives in Pakistan.
With millions of young Pakistanis entering the workforce annually, the focus is on providing them with relevant skills to catalyze economic progress.
Leveraging private sector resources and expertise, impact bonds prioritize achieving measurable results and outcomes, marking a departure from traditional input-focused approaches.
This initiative has garnered international attention, resulting in the British Asian Trust and PSDF receiving design funding from the Outcomes Accelerator supported by various entities, including the UK’s Foreign, Commonwealth & Development Office (FCDO) and Swiss State Secretariat for Economic Affairs (SECO), and UBS Optimus Foundation and managed by Levoca.
Kamyla Marvi, British Asian Trust Pakistan Director, said, “This partnership with PSDF marks a significant milestone in our efforts to drive employment for the youth of Pakistan. We are excited to bring international expertise to support the local design of the country’s first impact bond for employment.
We genuinely believe that this is an opportunity to transform the approach to development finance in Pakistan leading to greater innovation, efficiency and scale.”
At the signing ceremony, Ali Akbar Bosan, COO PSDF, said, “This pioneering initiative represents a revolutionary approach to funding skills training, set to transform the landscape of skilled workforce development.
The feasibility study will evaluate the potential impact, scalability, and financial viability of the Employment Impact Bond, laying the foundations for future programs.
This first-of-its-kind venture in Pakistan is our commitment to innovative solutions that address the pressing need for skilled labor, promising a significant shift in how skills training programs are financed and implemented.”