Business Desk :
The World Bank on Thursday approved $560 million for two projects in Bangladesh to improve reliable power supply and turn microenterprises into environmentally sustainable.
Of the total amount, the Washington-based lending agency will provide $450 million for Enhancement and Strengthening of Power Transmission Network in Eastern Region Project while another $110 million for Sustainable Enterprise Project (SEP).
The credits will come from the International Development Association (IDA), the World Bank’s concessional lending arm.
The Power Transmission Project will receive a scale-up facility credit from IDA, which has a 35-year maturity including a four-year grace period. SEP will receive interest-free IDA credit, which is repayable in 38 years, including a 6-year grace period, and carry a service charge of 0.75 percent, said a Word Bank press release received on Friday.
The release said $450 million Enhancement and Strengthening of Power Transmission Network in Eastern Region Project will expand the electricity transmission network in the eastern region, covering the greater Comilla and Noakhali and part of the greater Chittagong.
It will provide new electricity connections to 275,000 households and 16,000 agricultural consumers and reduce power interruptions.
The project will expand the existing grid network by building 13 new substations and rehabilitating an existing one. It will also construct 290 kilometer new and rehabilitate 157 kilometer existing transmission lines.
“The World Bank is helping Bangladesh overcome barriers to higher growth. Unreliable power supply and environmentally-unsustainable enterprises hinder a county’s competitiveness and poverty reduction efforts,” said Zahid Hussain, World Bank Acting Country Director for Bangladesh.
The World Bank on Thursday approved $560 million for two projects in Bangladesh to improve reliable power supply and turn microenterprises into environmentally sustainable.
Of the total amount, the Washington-based lending agency will provide $450 million for Enhancement and Strengthening of Power Transmission Network in Eastern Region Project while another $110 million for Sustainable Enterprise Project (SEP).
The credits will come from the International Development Association (IDA), the World Bank’s concessional lending arm.
The Power Transmission Project will receive a scale-up facility credit from IDA, which has a 35-year maturity including a four-year grace period. SEP will receive interest-free IDA credit, which is repayable in 38 years, including a 6-year grace period, and carry a service charge of 0.75 percent, said a Word Bank press release received on Friday.
The release said $450 million Enhancement and Strengthening of Power Transmission Network in Eastern Region Project will expand the electricity transmission network in the eastern region, covering the greater Comilla and Noakhali and part of the greater Chittagong.
It will provide new electricity connections to 275,000 households and 16,000 agricultural consumers and reduce power interruptions.
The project will expand the existing grid network by building 13 new substations and rehabilitating an existing one. It will also construct 290 kilometer new and rehabilitate 157 kilometer existing transmission lines.
“The World Bank is helping Bangladesh overcome barriers to higher growth. Unreliable power supply and environmentally-unsustainable enterprises hinder a county’s competitiveness and poverty reduction efforts,” said Zahid Hussain, World Bank Acting Country Director for Bangladesh.
