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World Bank to give Bangladesh loan willingly


Published : 17 Oct 2019 08:45 PM | Updated : 02 Sep 2020 12:20 AM

Although the country needs huge amount of money to implement various development projects and therefore to borrow money from foreign agencies, now it does not need to appeal to the World Bank for a loan as the global money lender itself wants to give additional loan for Bangladesh.

The International Development Association (IDA), a member of the World Bank Group, has completed disbursement of its scheduled $ 4.2 billion loan (IDA 2018) to Bangladesh in three years and the government has also spent the money due to its capability in using loan properly.

But many countries that have taken this loan from the World Bank has failed to spend them. As a result, IDA will make an official proposal in favour of Bangladesh’s using those unused loan. This could lead the volume of Bangladesh’s new loan to $ 6 billion.

Economic Relations Division secretary Monowar Ahmed said discussion has been made about the World Bank’s pipeline project. We have also discussed with the World Bank about increasing the loan volume. The IDA-2018 is coming to an end soon. This is very important time, he added.

“Besides, due to our capability we have spent the total loan very successfully. World Bank Country Director Mercy Miyang Tembon has proposed us to accept the fund that will be rebounded from many countries. We can accept it if we want. The World Bank will also make a formal proposal to us in this regard.”

In this regard, a session will be held at the ongoing World Bank Group and IMF conference in Washington DC on Friday. Finance minister AHM Mustafa Kamal will speak at the conference on new loan volume, expenditure for Rohingyas, environmental complexity and internal security issue.

Representatives of Asian Development Bank, World Bank, IDA, IFC and other development cooperation countries and agencies will attend the session.

“The state of implementation of the ongoing projects is quite satisfactory. In addition, the World Bank has also assured Bangladesh of $ 300 million for the next year in the Rohingya issue. However, we hope it will increase,” Anwar Hossain, joint secretary of the World Bank Wing of the ERD, said.

Bangladesh spends about one billion dollar annually for more than 12 lakh Rohingyas who fled to Bangladesh to escape persecution by the Myanmar army. Besides, Bangladesh is concerned about the environmental crises created around the Rohingya camps in Cox’s Bazar and security inside the camps as well as Bangladesh’s internal security due to Rohingya influx. These issues will also be highlighted in Friday’s session, he added.