AMN/ WEB DESK
The government of Bangladesh signed an agreement with the Asian Infrastructure Investment Bank (AIIB) for a loan of USD 250 million on Wednesday. The loan is being provided to help Bangladesh to implement a sustainable economic recovery programme from the impact of COVID 19.
The loan agreement was signed by Fatima Yasmin, Secretary, Economic Relations Division, govt of Bangladesh and DJ Pandian, Vice President, Investment operations Region 1 on behalf of the AIIB.
The programme intends to create financing opportunities for small, medium and cottage industries deficient in finding sources of funding. The programme also aims to reform and strengthen the public finance management system and expand financial resources.
The USD 250 million loan will be disbursed as per standard AIIB terms and conditions. The loan is repayable in 20 years including a 3 year grace period.
AIIB is a multilateral development bank focussed on developing Asia. It currently has 104 members including 17 prospective members. It started its operations in 2016 with 57 founding members and a capital base of USD 100 billion. It is headquartered at Beijing, China.