UNB, Dhaka :
The government is planning to raise funds from overseas capital markets through issuing bonds for the power sector investment, said State Minister for Power and Energy Nasrul Hamid on Sunday.
He came up with the information while addressing a seminar titled ‘Listing Process of Debt Instrument in Singapore’ jointly organised by Bangladesh Energy and Power Research Council (BEPRC) and Dhaka Stock Exchange (DSE) Ltd at the Bidyut Bhaban.
Power Secretary Monowar Islam and Power Division’s Additional Secretary Dr Ahmad Kaikaus also spoke at the programme while chief executives of different power distribution companies were present. Farhana Siddiqui, a top official of Singapore-based legal advising firm Drew & Napier made a presentation on the topic.
Farhana said, they provide legal advices in raising funds from international markets, especially from capital markets of different developed countries, through issuing bonds.
Nasrul Hamid said the country’s power sector needs $40 billion to achieve its target of producing 40,000 MW power by 2030. “But it’s not possible for the government to mobilise the funds of its own. So, we need to go to international markets to find out options for raising the fund.”
He said, it will be a good option to issue bonds on the international market for raising the money. Many investors will be interested to invest in Bangladesh through the bonds, he said adding: “By selling the bond internationally, we can be branding our country as well.”
The junior minister dropped a hint that the government will welcome private sector investment in the power transmission segment alongside the power generation. Responding to a question, he admitted to his ministry’s failure in spending the government’s allocation in the last fiscal year.
It was reported that the government allotted Tk 16,000 crore for the power sector in the last fiscal year 2014-15, which was double compared to the previous fiscal year’s allocation. But the power division failed to spend the money. Already 23 projects have made no progress and only less than 25 percent work of another 19 ones have been completed.
The government is planning to raise funds from overseas capital markets through issuing bonds for the power sector investment, said State Minister for Power and Energy Nasrul Hamid on Sunday.
He came up with the information while addressing a seminar titled ‘Listing Process of Debt Instrument in Singapore’ jointly organised by Bangladesh Energy and Power Research Council (BEPRC) and Dhaka Stock Exchange (DSE) Ltd at the Bidyut Bhaban.
Power Secretary Monowar Islam and Power Division’s Additional Secretary Dr Ahmad Kaikaus also spoke at the programme while chief executives of different power distribution companies were present. Farhana Siddiqui, a top official of Singapore-based legal advising firm Drew & Napier made a presentation on the topic.
Farhana said, they provide legal advices in raising funds from international markets, especially from capital markets of different developed countries, through issuing bonds.
Nasrul Hamid said the country’s power sector needs $40 billion to achieve its target of producing 40,000 MW power by 2030. “But it’s not possible for the government to mobilise the funds of its own. So, we need to go to international markets to find out options for raising the fund.”
He said, it will be a good option to issue bonds on the international market for raising the money. Many investors will be interested to invest in Bangladesh through the bonds, he said adding: “By selling the bond internationally, we can be branding our country as well.”
The junior minister dropped a hint that the government will welcome private sector investment in the power transmission segment alongside the power generation. Responding to a question, he admitted to his ministry’s failure in spending the government’s allocation in the last fiscal year.
It was reported that the government allotted Tk 16,000 crore for the power sector in the last fiscal year 2014-15, which was double compared to the previous fiscal year’s allocation. But the power division failed to spend the money. Already 23 projects have made no progress and only less than 25 percent work of another 19 ones have been completed.
