WB raises Padma bridge fund to $1.5 billion, Muhith says

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FE Report
The construction of Padma bridge would begin from March next year and the World Bank (WB) is set to give $1.5 billion for the project instead of $1.2 billion committed earlier, said finance minister Abul Maal Abdul Muhith Wednesday.
Asian Development Bank (ADB) will give $615 million, Japan's JICA $450 million and Islamic Development Bank (IDB) $140 million and the rest will be provided by the Bangladesh government.
The finance minister was talking to the media at a briefing at his office upon his return from the USA.
"The cost of the Padma bridge has gone up to $2.9 billion from $2.4 billion as new technology will be utilised for the construction," Mr Muhith said adding, "the fund will be available by January or February next year."
The IDB board has already approved its commitment and the government would get the allocation very soon, he said.
The finance minister said International Monetary Fund (IMF) has committed a $1 billion fund for the next three years without any interest as budgetary support for poverty alleviation programme.
"IMF provides support to facing balance of payment crisis, but this fund will be given to cope with a feared BoP problem," he said adding, "The government has an ambitious plan for poverty alleviation and it may lead to a BoP crisis."
The government is negotiating with the World Bank to come up with $1 billion for its poverty reduction programme, he said adding, "We have also discussed support for us in energy funding."
Mr Muhith said he met with a group of Bangladeshis who work at Wall Street and they requested him to form a sovereign fund or Bangladesh.
The minister said he had a meeting with Indian finance minister Pranab Mukherjee and discussed various issues including transit, food grain import and review of the joint communiqué.