Govt-ADB sign $ 170 million loan agreement

DHAKA, Bangladesh, Aug 6 (BSS)-The government and the Asian Development Bank (ADB) today signed a loan agreement involving US$ 170 million to support the efforts for improving food security for the poor in the country.

Economic Relations Division (ERD) Joint Secretary Monwara Begum and the officer-in-charge of the ADB Nurul Huda signed the agreement on behalf their respective sides.

ERD Secretary Aminul Islam Bhuiyan and other senior government officials and ADB functionaries were present on the occasion.

The ADB is providing the loan under its soft concessionary window for a 32-year period with grace period of eight years at one percent interest.

The fund has been provided in response to a request of the government for US$ 200 million loan as an emergency support to beef up food security for the poor and vulnerable.

This money will be available as budgetary support to food imports and meet other needs against unexpected rise in expenditures to carry out the safety net programme based on the country need assessment.

The ADB is one of the largest multilateral development partners of Bangladesh since it became a member of the agency in 1973. Its total loan to Bangladesh now stands at around US$ 9 billion, a ERD press release said.