World Bank to give Bangladesh $18b loans in next five years
Inflows of foreign assistance will continue to go up_ with Bangladesh receiving 18 billion dollar from the World Bank's soft loan window International Development Association (IDA) alone in the next 5 years.
The US-based lender will provide the country with fresh loans amounting to $10 billion- $2 billion a year during the time and will also release 8.24 billion dollar in the pipeline_ according to a draft of the Country Partnership Framework (CPF) programme for FY23 to FY27.
Moreover_ its sister organisation International Finance Corporation (IFC) will finance 4.5 billion dollar for the private sector development_ while the Multilateral Investment Guarantee Agency (MIGA) will give guarantees of 695 million dollar a year for external loans in energy and manufacturing sectors.
The World Bank has already sought opinions from government and private levels on the proposed CPF_ which will replace the existing Country Assistance Strategy_ to operate its lending activities in Bangladesh up to 2027 starting from the next financial year.
Bangladesh got 11.83 billion dollar during FY16-FY22 $1.67 billion per fiscal year on average.
Bangladesh is also getting commitments for additional loan support from the Asian Infrastructure Investment Bank (AIIB)_ Asian Development Bank (ADB) and other multilateral lenders.
For example_ the Asian Development Bank_ which earlier committed $10-$12 billion as per its Country Partnership Strategy approved in September previous year_ has now pledged to raise the loan amount by 2.37 billion dollar in a recent meeting with the Economic Relations Division.
Besides_ the AIIB has made a proposal of 1.51 billion dollar fresh loans for five projects.
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