Germany to provide Tk2,215cr to Bangladesh for energy, sustainable dev projects

Germany will provide Tk2,215 crore (€191 million) aid to Bangladesh for the implementation of 13 projects related to energy transition, sustainable urban development and supply chain, biodiversity and women empowerment.

Two bilateral agreements under Technical Cooperation and Financial Cooperation were signed between the two countries on Sunday following up on the commitments of the last government negotiations in December 2022, reads a press release. 
Of the €191 million, €55 million will be given under Technical Cooperation agreement and €136 million under Financial Cooperation agreement.

Sharifa Khan, secretary of the Economic Relations Divisions under the Ministry of Finance and Jan Janowski, Chargé d'Affaires of the Federal Republic of Germany in Bangladesh, signed the agreements on behalf of the two governments.

The signing ceremony was attended by high officials from the Bangladesh government and the German Embassy in Dhaka, as well as officials and experts from the main implementing agencies within the German-Bangladesh Development Cooperation. 

The projects focus on green and just energy transition, sustainable urban development, sustainable supply chains, biodiversity and women empowerment, as well as the support for host and displaced Rohingya communities in Cox's Bazar.

The projects under the Technical Cooperation agreement are — Policy Advisory for Promoting Energy Efficiency and Renewable Energy (with funding up to €4 million), Energy Efficiency and Grid Integration of Renewable Energy II (up to €2 million), Advanced Vocational Training and Promotion of Employment for Female Textile Workers (up to €5 million), Energy Efficiency for Sustainable Development (up to €7 million), Professional Education in Industrial and Environmental Safety (up to €7 million), Innovations for Climate-Smart Urban Development (up to €7 million), Programme for Sustainability in the Textile and Leather Sector II (up to €5 million), Vocational Training in the Field of Renewable Energy (up to €5 million), Supporting the Localisation of National Climate Adaptation Targets (up to €3 million), Socio-Economic Support for Host and Displaced Communities in Cox's Bazar (up to €5 million), and Strengthening the National Network of Protected Areas in Bangladesh through Advancing Digital Technology, Citizen Science, Fostering Participation of Women and Youth Involvement and Enhancing Interdepartmental Cooperation (up to €5 million).

The projects under the Financial Cooperation agreement are — Climate Change Adapted Urban Development Programme, Phase V, (UCRIP II) with a funding of up to €114.5 million (including €100 million preferential loan) and Climate Change Adapted Urban Development, Phase VI, with a funding of up to €21.5 million.

Germany has been providing financial and technical assistance for the development of Bangladesh since 1972, which amounts today to over €3 billion. 

German-Bangladesh Development Cooperation has a long-standing history in supporting climate change adaptation and mitigation, infrastructure, poverty alleviation, good governance and human rights, energy efficiency and renewable energy transition, and recently also the Rohingya and host communities in Cox's Bazar district. 

The latest agreements mark the continuation of successful bilateral cooperation and will contribute to achieving the SDGs and the Climate Goals of the Paris Agreement.

Germany operates their technical and financial cooperation activities in Bangladesh through three institutions — GIZ, KfW Development Bank and BGR. 

These institutions are overseen by the German embassy in Bangladesh. At present, 23 projects are being financed (loans and grants) by the German government, amounting to a total of €452.5 million loan and €161.054 million grant.