Bangladesh to get ADB loan to boost power plant capacity
23 December 2015, Nirapad News: The Asian Development Bank (ADB) will provide Bangladesh with US$205 million in loans to replace a 400-megawatt (MW) power plant with an existing 220MW one and improve reliable electricity supply to the customers.
The lender signed a loan deal with the Bangladesh government Tuesday in Dhaka. Mohammad Mejbahuddin, Senior Secretary of the Economic Relations Division (ERD), and Kazuhiko Higuchi, Bangladesh Country Director of ADB signed the agreements. The assistance is the third tranche of the $700 million funds for “Power System Expansion and Efficiency Improvement Investment Programme (PSEEIIP)” approved by ADB in 2012. Meanwhile, the government in 2012 formed a $1.60 billion funds under a “Power System Expansion & Efficiency Improvement Programme” for boosting electricity generation, expand transmission and distribution lines sand upgrading some inefficient power plants to enhance their capacity. The Manila-based donor assured of $700 million worth of loan, the Jeddah-based Islamic Development Bank (IDB) $380 million, the European Investment Bank (EIB) $200 million and the France donor agency AFD $200 million in the fund. -Asfar