Foreign loan commitments soar 133% in Jul-Nov

Foreign loan commitments to Bangladesh surged by 133 percent in the first five months of the current fiscal year, with most funding coming from the Asian Development Bank (ADB), European partners, and several other countries and organisations.

From July to November, total foreign loan and grant commitments reached $1.22 billion, up from $523 million during the same period last fiscal year. A commitment is recorded once a multilateral organisation or country approves a loan and signs an agreement with the government of Bangladesh.

Within the said period, the ADB provided $582 million, the World Bank $18.44 million, while Europe and other countries or organizations contributed $619 million.

Meanwhile, foreign aid disbursement increased by 26 percent during the same period. Total utilisation in the five-month period stood at $1.95 billion, compared to $1.54 billion in the same period last year.

The largest disbursement came from Russia, amounting to $552 million, primarily for the implementation of the Rooppur Nuclear Power Project. Authorities from Bangladesh and Russia are emphasising the commissioning of at least one unit next year.

Other significant disbursements included $428 million from the World Bank, ADB $315 million from ADB, $194 million from China, $89 million from Japan, $87 million from India, and $29 million from the Asian Infrastructure Investment Bank (AIIB).

Repayment of foreign loans, including principal and interest, rose by 10 percent, totaling $1.89 billion during the same period.