$600m WB loan to improve rural power supply

The government on Thursday signed a US$ 600 million loan deal with the World Bank (WB) to improve the quality of electricity supply for 25 million people in rural areas of Bangladesh’s  eastern part. Economic Relations Division secretary Mohammad Mejbahuddin and acting head of World Bank Bangladesh Christine E Kimes signed the deal on behalf of their respective sides. The credit for the Rural Electricity Transmission and Distribution Project is from the International Development Association (IDA), the World Bank Group’s soft loan arm. The project will support the construction of new lines and new substations, while upgrading the existing lines in rural areas of Dhaka, Chittagong and Sylhet divisions, to reduce system losses and enhance the capacity of the rural electricity network in Bangladesh, said a WB press release, according to a news agency.