Staff Reporter :
Beijing signed loans and investment deals with Dhaka worth about $20 billion on Friday on the sidelines of Chinese President Xi Jinping’s brief tour of Bangladesh.
Both sides signed the deals after close door talks between Bangladesh Prime Minister Sheikh Hasina and Xi Jinping, officials said on Saturday.
They said the deals are in addition to $13.6 billion trade and investment deals signed between Chinese companies including some of their state firms and Bangladesh private sector.
“The loan agreements will cover Chinese funding to Bangladesh’s key infrastructure projects such as roads, railways and a special economic zone, totaling around $20 billion,” a senior finance ministry official told The New Nation yesterday.
He said China also assured Bangladesh of assisting other infrastructure projects following a Bangladesh proposal for their funding by Chinese government. If their assistance takes into account, the total loans and investment
will reach $50 billion. He, however, declined to give further details on loan and investment deals signed between Dhaka and Beijing.
Apart from the deals, Chinese enterprises and firms also signed trade and investment deals with Bangladesh private sector totaling worth $13.6 billion, said Abdul Matlub Ahmad, President of the Federation of Bangladesh Chambers of Commerce and Industry.
“These trade and investment deals reflect China’s growing interest on deepening economic and bilateral ties with Bangladesh,” he said adding, “It will also help rebuilding our image abroad.”
Abdul Matlub Ahmad said, “Bangladesh needs billions of dollars investment in its infrastructure development to boost economic growth and create jobs. So, the Chinese investment here will largely contribute to its needs.
China is going to invest big volume of money here for developing coal and solar based power generation projects and enhances power distribution management technologies in a view of long term cooperation.
At the same time, private sector entrepreneurs have signed several deals with Chinese public and private firms in recent months to set up coal and solar based big power plant in different parts of Bangladesh.
“Bangladesh will be highly benefited taking the advantage of Chinese investment in power sector. All these initiatives will also help create skill manpower in coal and solar technology here,” Prof Shamsul Alam, Energy Adviser of Consumers Association of Bangladesh (CAB) told The New Nation yesterday.
He added: It has also created the opportunity of taking coal from own sources of Bangladesh as China has enough experience of coal extraction.
Prof Alam, however, warned that a good prospect can be destroyed by mishandling of these investment initiatives.
Opposing the government initiative of encouraging private entrepreneurs in power sector, he said, such moves will be forced the consumers to pay higher power tariff as private entrepreneurs are investing in power projects here from the intention of financial gain.
“The government should invest in power sector jointly with China instead of encouraging private entrepreneurs,” he added.
Beximco Group has signed a strategic partnership agreement with the world’s largest electrical power solution provider and Fortune 500 Company ‘China Energy Engineering Corporation’ (CEEC) to develop high technology, sustainable energy projects.
As per the agreement, both the companies BEXIMCO and CEEC will work on four major projects. These projects will be undertaken by CEEC on energy, procurement, construction and funding basis.
The projects include 8MW of solar power at Beximco Industrial Park, a state of art 660MW ultra- super critical coal fired power plant which is echo friendly based on the most recent international standard set by Paris Protocol, a 200MW solar power plant, a JV energy company to build a ‘Smart Grid ‘and distribution system countrywide.
Beximco will construct a power plant in association with a Chinese company in Gaibandha. Two other Chinese firms are constructing another power plant in Khulna along with local farm Orion group.
Beijing signed loans and investment deals with Dhaka worth about $20 billion on Friday on the sidelines of Chinese President Xi Jinping’s brief tour of Bangladesh.
Both sides signed the deals after close door talks between Bangladesh Prime Minister Sheikh Hasina and Xi Jinping, officials said on Saturday.
They said the deals are in addition to $13.6 billion trade and investment deals signed between Chinese companies including some of their state firms and Bangladesh private sector.
“The loan agreements will cover Chinese funding to Bangladesh’s key infrastructure projects such as roads, railways and a special economic zone, totaling around $20 billion,” a senior finance ministry official told The New Nation yesterday.
He said China also assured Bangladesh of assisting other infrastructure projects following a Bangladesh proposal for their funding by Chinese government. If their assistance takes into account, the total loans and investment
will reach $50 billion. He, however, declined to give further details on loan and investment deals signed between Dhaka and Beijing.
Apart from the deals, Chinese enterprises and firms also signed trade and investment deals with Bangladesh private sector totaling worth $13.6 billion, said Abdul Matlub Ahmad, President of the Federation of Bangladesh Chambers of Commerce and Industry.
“These trade and investment deals reflect China’s growing interest on deepening economic and bilateral ties with Bangladesh,” he said adding, “It will also help rebuilding our image abroad.”
Abdul Matlub Ahmad said, “Bangladesh needs billions of dollars investment in its infrastructure development to boost economic growth and create jobs. So, the Chinese investment here will largely contribute to its needs.
China is going to invest big volume of money here for developing coal and solar based power generation projects and enhances power distribution management technologies in a view of long term cooperation.
At the same time, private sector entrepreneurs have signed several deals with Chinese public and private firms in recent months to set up coal and solar based big power plant in different parts of Bangladesh.
“Bangladesh will be highly benefited taking the advantage of Chinese investment in power sector. All these initiatives will also help create skill manpower in coal and solar technology here,” Prof Shamsul Alam, Energy Adviser of Consumers Association of Bangladesh (CAB) told The New Nation yesterday.
He added: It has also created the opportunity of taking coal from own sources of Bangladesh as China has enough experience of coal extraction.
Prof Alam, however, warned that a good prospect can be destroyed by mishandling of these investment initiatives.
Opposing the government initiative of encouraging private entrepreneurs in power sector, he said, such moves will be forced the consumers to pay higher power tariff as private entrepreneurs are investing in power projects here from the intention of financial gain.
“The government should invest in power sector jointly with China instead of encouraging private entrepreneurs,” he added.
Beximco Group has signed a strategic partnership agreement with the world’s largest electrical power solution provider and Fortune 500 Company ‘China Energy Engineering Corporation’ (CEEC) to develop high technology, sustainable energy projects.
As per the agreement, both the companies BEXIMCO and CEEC will work on four major projects. These projects will be undertaken by CEEC on energy, procurement, construction and funding basis.
The projects include 8MW of solar power at Beximco Industrial Park, a state of art 660MW ultra- super critical coal fired power plant which is echo friendly based on the most recent international standard set by Paris Protocol, a 200MW solar power plant, a JV energy company to build a ‘Smart Grid ‘and distribution system countrywide.
Beximco will construct a power plant in association with a Chinese company in Gaibandha. Two other Chinese firms are constructing another power plant in Khulna along with local farm Orion group.
