Japan signs $2.66b loan deal for Bangladesh’s dev project, budget support

Japan has signed deals to provide $2.66 billion to Bangladesh, which will be used for two development projects and as a budget support loan.

Fatima Yasmin, secretary of the Economic Relations Division (ERD); ITO Naoki, Japan ambassador to Bangladesh, and Yuho Hayakawa, chief representative of JICA Bangladesh office, signed the "Exchange of Notes" and "Loan Agreement" today at a programme.

Finance Minister AHM Mustafa Kamal virtually joined the deal signing ceremony held at the ERD in Dhaka's Sher-E-Bangla Nagar, according to a press release of the finance ministry.

The projects are Matarbari Ultra Super Critical Coal-Fired Power Project (6th tranche) and Dhaka Mass Rapid Transit Development Project (Line 1) (2nd tranche).

Besides, the government will use the loan for smooth implementation of the policies to strengthen Covid-19 response capacity in the health sector, to enhance economic and physical access to health services towards the achievement of Universal Health Coverage.