ADB approves US loan for establishing first multi-skills park

Multilateral lender Asian Development Bank (ADB) will provide US $150 million loan for establishing the first multi-skills park in central Indian state of Madhya Pradesh.

• This new flagship GSP campus will be established in state capital Bhopal from where about 20,000 people are expected to be benefited.

About the Global Skills Park (GSP):

• The skills park will be equipped with international training facilities to enhance quality of Madhya Pradesh's technical and vocational education and training (TVET) system.
• It will create more skilled workforce that meets the labour market needs of the state.
• ADB's assistance will help open up opportunities to the men and women of Madhya Pradesh to gain high-level skills that increase their employability and capacity to contribute to growth.
• It will also help in modernising 10 industrial training institutes across state by renovating training infrastructure and upgrading skills courses to align with industry and market needs.
• It will also help to arrest the skills gap in Madhya Pradesh as it is expected to increase in the next six years, with incremental demand for skilled workers projected to hit 5.6 million in 2024.
• ADB will also administer US $2 million technical assistance grant from Japan Fund for Poverty Reduction, financed by Government of Japan.
• It will help assist in preparation of operational guidelines and setting up of GSP Society as well as in development of reform initiatives for industrial training institutes.

Facts related to Madhya Pradesh:

• Madhya Pradesh has one of the largest working-age populations in India with labour force expected to expand from 48 million in 2016 to 56 million in 2026.
• However, many in this labour force do not have necessary skills and training that can meet employment needs of state's emerging sectors.
• As per ADB, more than 55% of the state's workforce is currently in agriculture, while 22% is in industry and 23% in services.
• The percentage of people in workforce has undergone any formal vocational training is just 1.2%.

Question:

Q. Who will provide US $150 million loan for establishing the first multi-skills park in central Indian state of Madhya Pradesh?
a. World Bank
b. Bank of Japan (BoJ)
c. Asian Development Bank (ADB)d. None of the above