Staff Reporter :
The Government of Bangladesh and the Asian Development Bank (ADB) signed a $100 million loan agreement yesterday to strengthen the Bangladesh Infrastructure Finance Fund Limited (BIFFL) as additional financing, an official statement said.
The project, set to be implemented from 2024 to 2029, will be executed by the finance division, with BIFFL acting as the implementing agency
The Economic Relations Division (ERD) statement said the agreement was signed for “Strengthening Bangladesh Infrastructure Finance Fund Limited Project-Additional Financing”.
The agreement made a significant step in advancing infrastructure development through public-private partnerships (PPP).
ERD Secretary Md. Shahriar Kader Siddiky inked the deal with ADB Country Director in Dhaka Hoe Yun Jeong at a ceremony joined by senior officials of both the offices.
BIFFL is to implement the project under ERD oversight to be completed by 2029 aiming to catalyze commercial
financing for public-private partnership (PPP) projects in infrastructure development sector.
BIFFL Chief Executive Officer SM Anisuzzaman and Hoe Yun Jeong signed a separate project agreement in this regard.
According to the statement ADB’s Ordinary Capital Resources (OCR-Regular) loan is repayable in 25 years with a 5-year grace period with its interest rate being SOFR+0.50 percent +Maturity Premium 0.10 percent and Commitment Charge of 0.15percent.
Bangladesh became an ADB member in 1973 since when it operates as one its largest multilateral development partner till date the amount of its financing stood above $31897.47 million as loan and $571.2 million as grant.
ADB’s development assistance mainly focuses on power, energy, local government, transport, education, agriculture, health, water resources, governance and financial sectors of Bangladesh.
