Kazi Zahidul Hasan :
Bangladesh Atomic Energy Commission (BAEC) has asked the Sonali Bank to take necessary steps for opening a Letter of Credit for importing machinery, service and works for the main phase construction of Rooppur Nuclear Power Plant.
In a letter on Thursday, BAEC Chairman (current charge) Dr Dilip Kumar Saha requested the Sonali Bank authorities to open the Letter of Credit (LC) valued at $11.38 billion, the biggest ever in Bangladesh history, for the purpose.
On December 25, 2015, BAEC and Russian Atomstory (AEC) signed a General Contract (GC) for the construction and commissioning of the Nuclear Power Plant in Rooppur upazila in Pabna.
In continuation thereof, Bangladesh and Russian Federation on July 7, 2016 signed an Inter Government Credit Agreement (IGCA) worth US$11.38 billion (BDT 93,259 crore), 90 per cent of the contract value of the project cost.
In line with the IGCA, Sonali Bank (Dhaka Local Branch) and Vnesheconombank, Moscow, have been nominated by Bangladesh and Russia to conduct various banking transactions, including LC opening, for the implementation of the much-hyped project.
In July this year, both the banks singed an Inter Bank Arrangement (IBA) deal in this regard.
When contacted, a senior Sonali Bank official told The New Nation yesterday that they have started working to open the LC in proportion to the BAEC’s request.
“We already sought approval from the Central Bank to establish the LC. The value of the LC is the biggest ever in Bangladesh history. So, it requires the Central Bank’s approval,” he added.
He also said that the bank also approached for some special ‘facilities’ and ‘concessions’ to the Central Bank for opening and repayment of the LC for importing machinery, service and works for the main phase construction of the Nuclear Power Plant.
“We hope the Central Bank will extend its support to our endeavour for timely implementation of the mega project,” he said.
The estimated cost of the Rooppur Nuclear Power Project is $12.65 billion. Ninety per cent of the project cost will be provided by Russia on credit at the interest rate of 1.75 per cent on LIBOR (London Interbank Offered Rate).
Bangladesh will require paying the loan back over the period of 28 years with a 10-year grace period.
