Dhaka: The Economic Relations Division (ERD) of Bangladesh has formalized agreements with Japan for the advancement of two significant infrastructure projects under the 45th Japanese ODA Loan Package. The agreements, which include exchange notes and a loan agreement, focus on the Jamuna Railway Bridge Construction Project (3rd Tranche) and the Chattogram Sewerage System Development Project (Engineering Service).
According to Bangladesh Sangbad Sangstha, the ERD Secretary Shahriar Kader Siddiky signed the documents on behalf of Bangladesh, while the Japanese ambassador to Bangladesh, Iwama Kiminori, and the Chief Representative of JICA Bangladesh Office, Ichiguchi Tomohide, signed on behalf of Japan. The official signing ceremony took place at the National Economic Council (NEC) conference room located in Sher-E-Bangla Nagar.
As part of this Japanese ODA loan, Japan has committed to providing a total of 39,902 million Japanese Yen, which is approximately $248.88 million, for the development of these projects
. The loan carries an interest rate of 1.70% for construction and 0.40% for consultancy services, along with a Front End Fee of 0.2%. The repayment terms include a 30-year period with a 10-year grace period.
Japan’s collaboration with Bangladesh as its largest bilateral development partner has been instrumental in supporting the country’s socio-economic growth since its independence. This ongoing partnership underscores Japan’s commitment to aiding Bangladesh in achieving sustainable development goals through strategic infrastructure projects.