Thursday, Dec 18th

Last update07:51:43 PM GMT

You are here::

Germany to provide assistance for power transmission dev

E-mail Print PDF
Staff Reporter Germany is going to provide assistance worth 60 million Euros to Bangladesh for improving power transmission in the country's western region. The German government through KfW Development Bank will lend its support for the first time in the country's power sector under the 'Improvement of Power Transmission in the Western Zone' project. Of the 60 million Euros concessional assistance, the German government will provide 45 million Euros as loan while the rest of 15 million Euros will come as grant, Economic Relations Division (ERD) Additional Secretary Abul Mansur Md Faizullah told. He said Power Grid Company of Bangladesh (PGCB) will implement the project while a feasibility study on the project is nearing completion. The senior ERD official further said the agreement with the German government on the assistance will be signed next week. He said the KfW is expected to come up with an assistance amounting to 138 million Euros in 2016 to improve country's power transmission lines as well as also likely to provide another 20 million Euros to Bangladesh in 2016 for urban development in Barisal and Satkhira. The German government is likely to come up with that funding in power transmission and urban development as per its commitment for 2015-16. KfW Development Bank is one of the major implementing agencies of German Development Cooperation. On behalf of the German Federal government, KfW finances investments and advisory services. In Bangladesh, German Development Cooperation started working when the country gained its independence in 1971. In the framework of German Development Cooperation, KfW’s activities in Bangladesh focus on energy efficiency - renewable energy, health sector including family planning and governance and local development. Meanwhile, Germany has provided a total of $ 1788.1 million foreign aid to Bangladesh since the country’s independence, including $ 1520.2 million in grants and $ 267.9 million in loans, according to the flow of external resources for 2012-13 fiscal year released by the ERD.