Dhaka, Jan 23 (V7N) —The government of Bangladesh and the World Bank have signed an agreement as additional financing on the Enhancement and Strengthening of Power Transmission Network in Eastern Region Project amounting to $30 million.
The Power Grid Bangladesh is implementing the project to ensure reliable power supply and meet the growing demand for electricity in the greater Comilla, Chittagong, and Noakhali.
Economic Relations Division Secretary Md Shahriar Kader Siddiky and World Bank acting country director Gayle Martin signed the agreement on behalf of their respective sides.
The initial financing agreement of this project, amounting to $450.64 million was signed on 10 April 2018 under the Scale-Up Facility (SUF) of the World Bank. $50 million was cancelled from the original amount to repurpose for the Covid-19-related projects during the pandemic period.
The loan repayment period is 30 years with a grace period of 5 years.
The interest rate for this loan agreement is 1.25% and the service charge is 0.75%.
The maximum commitment charge is 0.5%.
However the World Bank Board decided to waive the commitment charge for this year.
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