IFC, ComBank and Sarvodaya join forces to set up early childhood development centres

To help meet the demand for quality childcare services among employed parents in the Eastern province of Sri Lanka, the International Finance Corporation (IFC), Commercial Bank of Ceylon (CBC) and Sarvodaya have joined forces to establish early childhood development centres in the area.  

It’s an innovative move with the project developed under the Women in Work partnership between the IFC and Government of Australia, after an IFC study last year showed strong demand by parents for childcare services and local business owners also had strong interest in subsidising the childcare services for their workforce. 
The first of the centres will be established in Batticaloa, with CBC providing the support on infrastructure development. The facility, which will provide day care and preschool services, will be extended to all parents in the locality, who will be in need of such facilities and specially to all employees of companies/institutions in the area, who will pledge to partner with this initiative. 

The 2022 IFC study surveyed almost 1,000 employees from 37 companies across the Ampara, Batticaloa and Trincomalee districts. It found companies lost Rs.99 million annually in productivity, due to employee absenteeism, distractions and delays. Almost two-thirds of parents surveyed reported dissatisfaction, including safety concerns, with their existing childcare arrangements. Over half of parents said they would make use of a childcare service, if one were available. 
As the local implementing partner, Sarvodaya will help upgrade and fully equip the centres to provide children with the suitable setting to foster development. Each centre aims to support 50 children, demonstrating a sustainable model for employer-supported childcare.   

    
Poor access to quality childcare poses a key constraint on labour force participation among Sri Lankan women. Many employable women either fail to enter the workforce or exit prematurely and fail to return. Through the newly established early childhood development centres, the participating companies can expect more women to return to work after having a child. It also aims to reduce turnover and absenteeism associated with childcare responsibilities among employees. 
The IFC also plans to develop and roll out an awareness campaign with the local communities to promote the uptake of the service, especially on the business opportunities it provides for women entrepreneurs.