Development partners such as the World Bank, Asian Development Bank (ADB), China, Russia and India made no loan commitments during the first three months (July–September) of the current fiscal year.
Among the major development partners, only Japan committed to providing loans, pledging USD 3.5 million during the period. However, major development partners disbursed loans they had committed earlier.
The Economic Relations Division (ERD) released its latest report on the country's foreign loan situation for July–September, the first quarter of the fiscal year, on Monday. The report contains these findings.
Prime Minister Tarique Rahman is currently visiting Japan. During the visit, investment agreements worth approximately USD 14 billion are expected to be signed for the next five years.
The World Bank and the ADB led foreign loan disbursements in the current fiscal year. The World Bank disbursed the highest amount during the first three months (July–September), providing USD 196.5 million.
The ADB ranked second, disbursing USD 162.1 million during the period. India, in third place, provided USD 105 million. Russia disbursed USD 20 million, while China provided USD 15 million.
Loan disbursements halve
According to ERD figures, debt repayments have increased, with repayments now exceeding disbursements by more than twofold.
Development partners and countries disbursed approximately USD 660 million in loans during the first three months (July–September) of the current fiscal year, half the amount disbursed during the same period last year. In the first quarter of the previous fiscal year, loan disbursements amounted to USD 1.15 billion.
Meanwhile, Bangladesh had to repay approximately USD 1.35 billion in principal and interest on previously borrowed loans during the same period.
The country received loan commitments worth just USD 1.27 billion during July–September.