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Market Analysis

Costly training, scant results: How skills projects keep failing to

Last updated: October 9, 2025 10:30 am
Published: 6 months ago
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Govt takes up new youth training projects despite bleak success in previous ones

Over the past decade, during the previous government’s tenure, Bangladesh has poured thousands of crores of public money into vocational and ICT training programmes aimed at producing entrepreneurs and creating jobs.

Yet most of these projects, designed to fight youth unemployment, have failed to deliver sustainable employment or income opportunities.

Despite the shortcomings, in a worrying sign, the interim administration is now planning another round of large-scale training projects with similar features and familiar flaws – weak planning and wrong targeting.

The Department of Youth Development, recently, has proposed a Tk506 crore project to train 38,400 young people in mobile phone servicing, hoping to turn them into entrepreneurs.

The project titled “Creating Entrepreneurs through Mobile Servicing Training for Job Seekers” will run district-level three-month courses, offering trainees daily allowances for meals and expenses.

According to the department, a national curriculum will be followed to produce skilled technicians capable of working to international standards. Trainees aged between 18 and 35, who have passed higher secondary school (HSC/A-Level equivalent) and come from poverty-prone districts, will receive three months (300 hours) of training in each district, along with Tk300 daily for meals and Tk200 as allowance.

A second proposed project by the department seeks to train 9,600 youths in basic and advanced artificial intelligence (AI) tools under a Tk46.35 crore budget.

The Skill Development in Artificial Intelligence (AI) Technology for ICT-Literate Youth project aims to introduce participants to 11 basic and 16 advanced AI applications, drawing on global resources such as Microsoft, Coursera, and the textbook AI Engineering Building Applications with Foundation Models.

The project targets young people aged 18 to 35, with at least higher secondary education and basic computer and English knowledge. At least 30% of the trainees will be women. Participants will also receive guidance on earning from online marketplaces, a skill the department says could help build “a generation of digital entrepreneurs”.

But experts question whether such projects, conceived and implemented without rigorous planning or market analysis, can succeed where others have failed.

A trail of costly failures

A long line of previous government training projects has shown dismal results.

An Implementation Monitoring and Evaluation Division (IMED) assessment published in June found that most training projects aimed at job creation suffer from poor planning, wrong targeting, and lack of follow-up.

One such project, “Improving the Socioeconomic Condition of the Underprivileged and Extremely Poor People through Training in Self-Employment Activities”, trained 5,185 people in four districts, Lalmonirhat, Jamalpur, Bhola, and Patuakhali, between February 2020 and June 2022, spending Tk38 crore.

The outcomes were bleak. Of 2,545 people trained in driving, only 72 – just 2.82% – were employed in that field within three years. Among 2,640 trainees in computer and IT skills, only 121 (4.58%) found relevant jobs.

Moreover, nearly half (46%) of participants held bachelor’s or master’s degrees, even though the project was designed for poor, underprivileged individuals with lower education levels.

Only 6% of participants are currently working as drivers, while 73% remain outside the profession. Although around 60% of trainees managed to earn some income post-training, 33% are still unemployed, according to the IMED report.

The IMED report concluded that the project’s structure and execution were “flawed”, and that its employment outcomes were “far below expectations”.

Similar stories can also be found across ministries.

The National Women’s Organisation’s District-Based Women Computer Training Project launched in 2013 with Tk69 crore, aiming to make women self-reliant through ICT skills.

But an investigation by The Business Standard in 2021 revealed that only 0.62% of the trained women became entrepreneurs, while 1.87% engaged in outsourcing work. Many listed as “entrepreneurs” in the official database were actually unemployed.

Another case is the Bangladesh Investment Development Authority’s (Bida) Entrepreneur Creation and Skill Development Project. Launched in 2019, it trained 24,900 people over two years — but only 4,245 (17%) managed to become entrepreneurs, most citing lack of financing as the main barrier.

The ICT Division’s flagship Learning and Earning Development Project (LEDP) trained 77,000 people, but only 32,000 are actively earning through freelancing, despite a massive Tk3,800 crore allocation.

Why the projects fail

Economists and policymakers point to systemic flaws that have persisted across administrations.

Most training projects prioritise the number of trainees over the quality of outcomes. Curricula often fail to reflect the demands of the job market, and are reused year after year even as technology and industry needs evolve.

Government officials themselves acknowledge that projects usually last two to three years, after which monitoring stops entirely. Trainees’ post-training employment or income status is rarely tracked.

Many participants, especially those from rural areas, lack access to computers or financial resources to practise their new skills. Others face family or social resistance to pursuing certain professions, particularly women.

Competition in the global digital market has also intensified, leaving those with only basic computer training far behind.

Experts call for structural change

Economist Mustafa K Mujeri, executive director of the Institute for Inclusive Finance and Development (InM), told The Business Standard that the country’s training projects “are failing to achieve their main objectives”.

“Training alone is not enough,” he said. “What matters is whether trainees can apply those skills in real workplaces. ICT or technical training will not be effective unless participants have opportunities to put their knowledge into practice.”

He added that training programmes rarely include the necessary support systems, such as access to credit, job placement, or business incubation.

“A trained individual might aspire to be an entrepreneur, but without financing, market access or networking support, the training remains nothing more than a certificate,” he said.

Mujeri also criticised the lack of coordination between ministries and the near-absence of impact evaluation.

He said, “We have many agencies conducting training, but very few measure the quality or long-term effects. Huge sums are being spent without checking whether participants’ lives are actually improving.”

Rethinking training

Experts say Bangladesh’s training ecosystem needs to move from input-driven to outcome-driven models.

One possible reform is the “Training → Internship → Job Linkage” framework, which would connect skill development directly to market demand and employment opportunities. Projects should also include long-term monitoring, mentoring, and financial support for self-employment.

Without these changes, analysts warn, new projects like the mobile servicing and AI training schemes risk repeating the same mistakes, draining public funds while producing few jobs.

Read more on The Business Standard

This news is powered by The Business Standard The Business Standard

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