US keen on electrical products export, long-term LNG supply, establishing terminal, Eastern Refinery 2: Salehuddin

The United States has shown interest in exporting generators and electrical products to Bangladesh to reduce the trade gap between the two countries, said Finance Adviser Salehuddin Ahmed.

In addition, they have shown interest in long-term LNG supply, LNG terminal construction, and the establishment of Eastern Refinery 2, he told reporters after a meeting of the Advisory Committee on Government Procurement at the Secretariat today.

To attend the World Bank-IMF Spring Meetings, the finance adviser visited Washington, DC from 21 to 26 April. During the visit, a delegation led by Lutfey Siddiqi, special envoy to Chief Adviser Muhammad Yunus, also engaged in bilateral trade discussions with US representatives, with the finance adviser joining several of them.

Salehuddin said the delegation's efforts were more focused on trade negotiations with the US rather than attending the Spring Meetings, with an emphasis on bridging the trade gap between the two countries.

He said discussions were held with US business leaders and officials from the Energy, State, Labour, Agriculture, and Treasury Departments. Mastercard, Visa, and Chevron shared various investment proposals.

He added that talks with the OPEC Fund, International Finance Corporation (IFC), Asian Infrastructure Investment Bank (AIIB), and IDB were also productive, with all parties showing interest in cooperation. The New Development Bank (NDB) pledged support for future projects.

The IFC and OPEC Fund have shown interest in financing the private sector in Bangladesh, the finance adviser said.

Salehuddin said, "IFC Vice President Riccardo was very serious. They observed that instead of focusing solely on the World Bank and the IMF, the Bangladesh delegation was meeting with officials of the current US administration. This indicates that Bangladesh considers the US more important."

He added, "We had a very successful discussion with the IFC. They already have some involvement here. They mentioned a $500 million offer for Bangladesh's private sector, which is a good opportunity that will benefit private enterprises."

Salehuddin said discussions were held on LNG imports, with the US expressing interest in long-term supply agreements. Bangladesh responded that cost considerations, including transport expenses from the US versus Singapore, must be assessed. Still, the US remained interested. 

He added that Bangladesh plans to set up its own LNG terminal, and the US could support that. The US also showed interest in proposals to modernise Bangladesh's Eastern Refinery.

$950m foreign aid committed

Salehuddin also mentioned that during the US visit, agreements worth $950 million were signed between ERD and development partners for three projects. 

Of this, the World Bank committed $660 million for the Chattogram Bay Terminal and $200 million for safety net and resilience projects. 

Additionally, the OPEC Fund signed a $100 million agreement to support the private sector, with its president expressing readiness to provide further support if needed.