The World Bank has cleared a USD 250-million loan to aid the Skill India mission. The loan amount would be used for making Indian youth more employable through reskilling.
The USD 250 million Skill India Mission Operation (SIMO) is set to increase the market relevance of short-term skill development programmes (3-12 months or up to 600 hours) both at the national and state levels. It will help the government of India to better equip the young workforce with employable skills.
SIMO will be a six- year programme in support of National Policy for Skill Development and Entrepreneurship (2017-23).
Under the programme, persons in the age group of 15-59 will acquire skill training irrespective of their employment status. This will benefit 1.2 crore youngsters in the age bracket of 15 and 29 years who are entering the labour market every year. The programme is expected to benefit approximately 15,000 trainers and 3,000 assessors.
The programme has also a mandate to offer placement and entrepreneurship opportunities to women and increase their exposure to skill training.
As per the official estimates, India is in need of additional 109 million skilled workers to work in 24 key sectors by 2022.
SIMO will support the government’s vision of increasing women’s participation in the labour force and increase greater off-farm employment. Higher skilled labour force will have an improved employment opportunity to raise their earnings.
World Bank is one of five institutions created at the Breton Woods Conference in 1944. World Bank is part of the United Nations system, but its governance structure is different. World Bank’s headquarter is situated at Washington DC. World Bank provides loans to developing countries for capital programmes. World Bank comprises only two institutions viz. the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA). In contrast, World Bank Group comprises three more viz. International Finance Corporation (IFC), Multilateral Investment Guarantee Agency (MIGA), and International Centre for Settlement of Investment Disputes (ICSID).