China to speed up project fund release, says Mahmood Ali

Emphasises Bangladesh's promising growth trajectory

FE Team | Published: January 22, 2024 00:03:41

Finance Minister Abul Hassan Mahmood Ali on Sunday said that the release of Chinese funds for Bangladesh's development projects will be easier than before.
He was talking to reporters after a meeting with the Chinese ambassador in Dhaka Yao Wen, at the NEC conference room in Sher-e-Bangla Nagar, Dhaka, report agencies.
In response to a question, Ali said, "China has a commitment to the projects taken up for development. I expect China's financing concessions to be easier than ever."
The Chinese ambassador said their work has started anew with the new government in Bangladesh. "That's why I had a courtesy meeting with Finance Minister Ali today (Sunday)."
He quoted the new finance minister as saying that Bangladesh will play a strong role in promoting bilateral relations with China.
The ambassador also said that China's economic and trade relations with Bangladesh will further grow under the new government.
Meanwhile, Mr Ali emphasised the country's promising growth trajectory, the need for substantial investments in key sectors through unconventional means, including blended finance, private sector facilitation, policy support and increased concessional climate finance.
He made the remarks at a meeting with the Vice-President and Chief Operating Officer of New Development Bank (NDB) Vladimir Kazbekov at the Economic Relations Division (ERD) in the capital on the day.
In the face of the ongoing global financial crisis, Ali also expressed the hope that the NDB would innovate new financial instruments to support development of both public and private sectors.
The proposal to explore multi-currency operations in Bangladesh was also discussed, said an ERD press release here.
The release said a seven-member high-level delegation from the NDB, headed by Vladimir Kazbekov, is currently on a visit to Bangladesh from January 21 to 23, 2024.
This visit aims to strengthen ties and explore potential collaborations to support Bangladesh's sustainable development initiatives.
During the meeting, the Finance Minister extended a warm welcome to the NDB vice-president, expressing gratitude for the bank's active involvement in Bangladesh's critical projects.
These projects specifically involve the establishment of a new water supply network in select areas of the city and the replacement of the aging gas network in Dhaka and Narayanganj districts.
Discussions primarily focused on advancing infrastructural development across diverse and productive sectors, including transport, clean energy, energy efficiency, water and sanitation and tourism.
In response, Vladimir Kazbekov congratulated the Finance Minister on his recent appointment and commended the new government under the leadership of Prime Minister Sheikh Hasina. He assured a deepening of economic relations with Bangladesh and pledged increased collaborations to support sustainable development initiatives.
Bangladesh holds the distinction of being the first country to join the New Development Bank after its original members in September 2021. This membership has paved the way for a new partnership, aligning with Bangladesh's development vision.
The country successfully completed its tenure as the initial Director for a constituency formed in collaboration with the United Arab Emirates (UAE) and Egypt, spanning from September 2021 to June 2023. Bangladesh formulated "The New Development Bank Act, 2023" in November, 2023 to ratify NDB's Agreement.
The ongoing visit by the NDB delegation involves discussions with high-level government officials and dignitaries to explore potential financing opportunities, contributing to Bangladesh's journey towards a higher development trajectory.