Among other bilateral issues, Bangladesh would also request China to expedite confirmation of loans, including the one for Mongla seaport development that the development partner earlier proposed to finance, during Foreign Adviser Touhid Hossain's four-day visit to China.
The adviser, who left Dhaka for Beijing on Monday, is scheduled to hold a bilateral meeting with his counterpart in Beijing today (Tuesday), officials said here on Monday.
The Chinese government proposed a few years back to invest in Bangladesh's second largest seaport at Mongla for its development.
"We requested the Ministry of Foreign Affairs to discuss at the bilateral talks about confirmation of at least two pending loans - Mongla port development and procurement of 4 vessels," an official at the Economic Relations Division (ERD) told the FE.
He said the ERD requested the foreign ministry to discuss the quick approval process of the Chinese loans as Dhaka has been considering more concessional loans with a positive approach to upgrade infrastructures as a couple of the assured Chinese loans remain pending for years.
Moreover, Dhaka will discuss the Chinese dam on the Brahmaputra River and also about the stalled Teesta project in Bangladesh, where Beijing is also interested to finance, said officials involved with the foreign adviser's visit.
Officials at the ERD and foreign ministry said Dhaka would request Beijing to speed up the aid confirmation procedures and finalise funding to some other projects, pending for years.
A commercial contract for the four vessels for the Bangladesh Shipping Corporation (BSS) with China was finalised in 2023 when Bangladesh government's Cabinet Committee on Economic Affairs (CCEA) endorsed the purchase. However, Beijing is yet to approve the assured loan worth US$250 million.
Another ERD official said Chinese assured loans are halted for about two years as the last agreement of $276 million for bankrolling the Rajshahi WASA project was signed in May 2023. After the agreement, no loan finalised by the lender although Bangladesh sent its priority lists to Beijing two years ago, he added.
Earlier, the Mongla port development project was put on hold by the deposed Sheikh Hasina government allegedly on "geopolitical considerations", officials said.
In 2020, the then government allowed Indian financial support for a separate project on upgrading the Mongla seaport, which is now gaining prominence with major communications-infrastructure developments done by China in the region.
The Mongla Port Authority (MPA) has been implementing the Tk 60.15 billion project since 2020 for upgrading the port with part financing of Tk 44.59 billion from Indian loan.
A Planning Commission (PC) official said China is set to come back for Mongla seaport development as Bangladesh's current interim government has revised the China-funded Tk 40.68-billion project for the port development.
The MPA has sought approval for the China-funded project, insiders said about resumption of the once-stalled bid.
The PC official said the MPA more than a month ago sought approval for Tk 40.68 billion as cost of 'Expansion and Modernization of Mongla Port Facility Project' where China has proposed to provide Tk 35.93 billion (nearly US$335.78 million) in loan.
"We have scrutinised the project and sent it to Planning Advisor Dr Wahiduddin Mahmud for endorsement before forwarding it to the Executive Committee of the National Economic Council (ECNEC)," he said.
Earlier, the ECNEC headed by the then prime minister, sent back the project proposal in September 2023, asking for a further review of the project. The MPA signed a memorandum of understanding (MoU) with the CCECC authority on August 24, 2021 and the latter submitted its financial bid and technical proposal on January 28, 2023.
Expansion and Modernisation of Mongla Port Facility project was listed among the 27 development projects that China pledged to fund by signing an umbrella deal back in 2016 during President Xi Jinping's visit to Dhaka.
The project comprises construction of two container jetties which will enhance Mongla seaport's container-handling capacity by 394,000 twenty-foot-equivalent units (TEUs) per annum.
Following construction of many mega-infrastructures, particularly in Bangladesh's southern part--especially the Padma Bridge--the Mongla seaport's importance has increased manifold with vistas of opportunities in trade and connectivity opening up.
It has now become the nearest seaport to the capital, Dhaka, and recently many international shipping lines have shown interest in the port.
"A good number of garment exporters have also started shipping their goods through the port, as its distance with the capital is 100-kilometre shorter than those from other ports," said an official at the MPA.
The entire western part of Bangladesh and its adjoining areas are considered hinterland, having a unique opportunity to play a vital role in the arena of international and regional trade and economy, officials said their Chinese counterparts regarding the importance of the project.
In unlocking its potential, the Mongla seaport recently registered a record in terms of ship arrivals, cargo handling, and revenue earning.
In 2020, the port saw a turnout of 970 ships--the highest in its 70-year history. It earned a profit of Tk 1.30 billion from the limited-scale operations.
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