Japan International Cooperation Agency (JICA) on Monday signed deals to provide Bangladesh 120.986 billion Japanese yen(equivalent to US$1.184 billion) to implement five projects.
The 0.01 percent-interest loan carries 10 years grace period and 40 years of repayment.
The five projects are: Matarbari Ultra Super Critical Coal-Fired Power Project, Small and Marginal Sized Farmers Agricultural Productivity Improvement and Diversification Financing Project, Natural Gas Efficiency Project, Inclusive City Governance Project and Haor Flood Management and Livelihood Improvement Project.
The deals were signed at a function in Sonargaon Hotel in presence of visiting JICA president Akihiko Tanaka, Bangladeshi Finance Minister AMA Muhith and State Minister for Power and Energy Nasrul Hamid. Japanese Charge-D-Affairs Hiroyuki Minami and the JICA local chief also addressed the function.
Economic Relations Division (ERD) secretary Mezbah Uddin and JICA chief representative in Bangladesh Mikio Hataeda signed the agreements.
ERD officials said the deals were included in an “Exchange Note” signed between Bangladesh and Japan governments during Prime Minister Sheikh Hasina’s Japan visit on May 26.
Addressing at the function Finance Minister AMA Muhith said the loan as good as grant because the interest is so low.
Muhith said the government seeks public administration reforms to improve its efficiency and bring transparency.
“We have to restructure the public administration of the country, we have to transfer powers to local governments, we can then achieve 8-10 percent growth,” he said.
Addressing the function JICA president Akihiko Tanaka said his organization is proud of working with Bangladesh in its efforts for development.
Source: UNB Connect
