NDB team due on Sunday to discuss $4.5b project financing
- NDB Vice-President Vladimir Kazbekov will head the 7-member delegation
- NDB, Bangladesh to discuss finance of several infrastructure projects over the next 5 years
- Among the projects are Dhaka Wasa's water supply, replacement of decades-old gas pipelines
- Bangladesh got NDB's loan membership in September 2021
A high-ranking New Development Bank (NDB) delegation is set to arrive in Dhaka on Sunday, marking the first visit by the Shanghai-based multilateral lender to Bangladesh.
During their three-day visit, the NDB team will hold talks with Bangladeshi officials to finance several infrastructure projects, totalling $4.5 billion, over the next five years, according to the Economic Relations Division (ERD).
The delegation will discuss loan proposals for various development projects, including Dhaka Wasa's water supply project and the replacement of decades-old gas pipelines, ERD officials said.
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NDB Vice-President and Chief Operating Officer Vladimir Kazbekov will head the seven-member delegation, which includes three Directors General Yury Surkov, Bin Han, and Dharmakkan Jagatheesa Pandian.
They will meet with the Bridges Division, Ministry of Civil Aviation and Tourism, Ministry of Railway, Road Transport and Highways Division, Ministry of Rural Development and Cooperatives, Local Government Division, and Energy and Mineral Resources Division. The secretaries of the respective ministry and division will be present in the meetings.
The NDB delegation will also meet with Finance Minister Abul Hassan Mahmood, ERD Secretary Shahriar Kader Siddiky, Finance Division Secretary Dr Md Khairuzzaman Mozumder, Bangladesh Bank Governor Abdur Rouf Talukder and discuss the loan process.
Sources in the ERD said although Bangladesh got the NDB's loan membership in September 2021, Bangladesh is yet to receive a loan from the organisation due to the long delay in sending loan proposals.
ERD officials said Bangladesh is taking fewer market-based loans due to rising global interest rates caused by the Russia-Ukraine war. So, the government is moving slowly in taking loans from the NDB. But two projects with a total value of $763 million are nearing finalisation.
Of the projects, the NDB is keen to provide $320 million for the Dhaka Wasa project, with a seven-year grace period. A loan agreement is expected by June 2024. Besides, Titas Gas Transmission and Distribution Company is in line for a $443 million loan agreement within this year to upgrade old gas pipelines, ERD officials said.
Besides, several other projects are under consideration for implementation with NDB funding. These projects include a 120MW solar power plant ($115 million), power distribution upgrades in Northern Electricity Supply Company (Nesco) area ($112 million), the construction of Payra Bridge and Bishkhali Bridge ($978 million), and a water supply project in Rajshahi ($83 million).
