OFID approves $100 million to support Bangladesh’s reforms
- Update Time : 04:13:29 pm, Wednesday, 23 April 2025
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OPEC Fund for International Development (OFID) has signed a loan agreement to provide Bangladesh with $100 million in budget support under the “Strengthening Economic Management and Governance Program.” The agreement was signed in Washington D.C., with Md. Shahriar Kader Siddiky, Secretary of Bangladesh’s Economic Relations Division (ERD), and OFID President Abdulhamid Alkhalifa representing their respective sides.
According to an ERD press release, the loan aims to assist Bangladesh in improving its macroeconomic management and reforming the financial sector. The loan carries an interest rate of six-month EURIBOR plus 1.20% per annum. Additionally, a commitment fee of 0.25% per annum will apply to the undisbursed balance. The loan term is set at 18 years, including a three-year grace period.
OFID has been a development partner of Bangladesh since the fiscal year 1977–78, primarily supporting infrastructure projects, including roads and power. So far, OFID has provided $693.61 million in funding to 32 public sector projects and $310.21 million to the private sector in Bangladesh.
