The Government of Bangladesh and the World Bank have signed an agreement as additional financing on 'Enhancement and Strengthening of Power Transmission Network in Eastern Region Project' amounting to $ 30 million.
The Power Grid Bangladesh PLC is implementing the project to ensure reliable power supply and meet the growing demand for electricity in greater Cumilla, Chattogram, and Noakhali districts.
Secretary, Economic Relations Division Md. Shahriar Kader Siddiky and Acting Country Director, World Bank Gayle Martin signed the agreement on behalf of their respective sides.
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The initial financing agreement of this project, amounting to US$ 450.64 million was signed on 10 April 2018 under Scale- Up Facility (SUF) of World Bank: US$ 50.00 million was cancelled from the original amount to repurposing for the Covid-19 related projects during the Covid 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%.
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However the World Bank Board decided to waive the commitment charge for this year.