City Bank PLC, a private sector bank in Bangladesh, has secured a $75 million loan facility from two international development banks to boost private sector investment.

The loan deal was signed among the City Bank, the Asian Infrastructure Investment Bank (AIIB), and the New Development Bank (NDB) to boost investment and sustainable infrastructure development in Bangladesh.

The total financing package includes $50 million from the AIIB and $25 million from the NDB. The funds will be allocated for investment in Bangladesh's private sector and key development areas, including power, energy efficiency, e-mobility, and digital infrastructure.

The bank officially announced the financing package on Thursday (October 2), confirming the signing of the agreement with the international development institutions.

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This loan is particularly significant as it is AIIB's first on-lending facility in Bangladesh without a sovereign guarantee to a private commercial bank or institution. For City Bank, the facility is expected to catalyze private sector capital investment, create opportunities for long-term infrastructure lending, and support the implementation of crucial development projects across various sectors.

The management of City Bank expressed confidence that the partnership will significantly accelerate investment in renewable energy and infrastructure, which are vital for achieving the country's Sustainable Development Goals (SDGs).