Photo: Collected
The Government of Bangladesh and the World Bank signed an agreement for additional financing of SDR 22.9 million (equivalent to $30 million) for the Enhancement and Strengthening of Power Transmission Network in Eastern Region Project today (23 January), according to a press release.
The Power Grid Bangladesh PLC is executing the project, which aims to ensure reliable power supply to the growing electricity demand in the Cumilla, Chattagram, and Noakhali regions.
Mr Md Shahriar Kader Siddiky, secretary of the Economic Relations Division, and Ms Gayle Martin, acting country director of the World Bank, signed the agreement on behalf of their respective sides. The initial financing of $450.64 million was signed in April 2018 under the World Bank's Scale-Up Facility.
A portion of the original amount, $50 million, was repurposed for Covid-19 projects. The loan repayment period is 30 years, with a five-year grace period.
The interest rate is set at 1.25%, with a service charge of 0.75%, and a maximum commitment charge of 0.5%. However, the World Bank Board has waived the commitment charge for this year.
Messenger/Tareq
