Bangladesh to receive $2.0b IDB fund to fight poverty
Saturday, 1 September 2007
Islamic Development Bank (IDB) Group president Ahmad Mohamed Ali said Friday Bangladesh would receive US$ 2.0 billion from the Islamic Solidarity Fund for Development (ISFD) to implement poverty alleviation schemes, report UNB/ bdnews24.com.
The IDB in the process of building up a $10 billion fund to help reduce poverty in its member countries under a 10-year programme.
"We've undertaken a massive initiative to alleviate poverty in the member countries including Bangladesh," he said, addressing the 24th annual general meeting (AGM) of Islami Bank Bangladesh Limited (IBBL).
He is on a three-day visit to Bangladesh to exchange views with policy makers and high officials on development issues and to see IDB-assisted development projects in the country.
IBBL chairman Abu Nasser Muhammad Abduz Zaher presided over the AGM at China-Bangladesh Friendship Conference Centre in the city in the morning.
"We'll have to go a long way to face the challenges of reducing poverty in Muslim countries, excepting a few ones," Ali said, adding that the 56-member IDB was working on how the condition of the poor people could be improved.
He said Bangladesh has set up a model of working with the poor and the IDB would be very keen to replicate the model elsewhere, specially in Africa.
According to the IDB, the ISFD is scheduled to commence operations on January 10 next year while the ISFD board of directors considered all possible options for mobilising additional resources from member countries to build up adequate base capital for the Fund.
The ISFD was officially launched during the 32nd meeting of board of governors held on May 29-30 this year in Dakar, Senegal, in accordance with the resolutions of the extraordinary session of OIC summit in Makkah in December 2005.
The OIC summit had decided to establish a special fund within the IDB with a view to reducing poverty.
Other objectives of the Fund are eliminating illiteracy, eradicating major communicable diseases such as malaria, tuberculosis and AIDS, and building human and productive capacities particularly in least developed OIC countries.
The Fund has already received contributions from 21 member countries including Saudi Arabia and Kuwait, which have generously pledged one billion and 300 million US dollar respectively.
The Fund is envisaged to take the form of a Waqf, thus ensuring appropriate use of the seed capital of $10 billion.
Another report adds: The IDB is expected to fund the government's post-flood rehabilitation programmes, Finance and Planning Adviser Mirza Azizul Islam said Friday.
"We have agreed in principle in this connection. An IDB mission will come shortly to discuss the quantum, modalities and size of the assistance," the adviser said.
Azizul's remarks came after a meeting with the IDB president now in Dhaka on an official visit.
The government and the IDB signed three agreements worth a total of $ 9.19 million following the meeting.
The IDB has already provided $0.28 million as emergency flood assistance and $1.50 million for rehabilitation activities after flood.
The IDB, according to agreements, will provide a loan of $8.68 million for the Greater Rangpur Agricultural and Rural Development Project, a technical assistance grant of $0.295 million for a feasibility study of Bhola Combined Cycle Power Plant and Barisal Bhola-Borhanuddin 132 kV transmission line project.
It will also provide a grant of $ 0.218 million for feasibility study of the Eastern Refinery Ltd project.
IDB president Ali and Secretary of the Economic Relations Division under the ministry of finance Md Aminul Islam Bhuiyan signed the agreements.
"We have also talked on how to strengthen collaboration in development of ICT," Islam said.
"It's my pleasure to be here today signing the agreement. We are giving our support to Bangladesh's agriculture, power and energy sectors. We hope our cooperation will be strengthened further," the IDB president, who arrived Thursday, said.
Ali is expected to leave for Kuala Lumpur on September 1.
The IDB in the process of building up a $10 billion fund to help reduce poverty in its member countries under a 10-year programme.
"We've undertaken a massive initiative to alleviate poverty in the member countries including Bangladesh," he said, addressing the 24th annual general meeting (AGM) of Islami Bank Bangladesh Limited (IBBL).
He is on a three-day visit to Bangladesh to exchange views with policy makers and high officials on development issues and to see IDB-assisted development projects in the country.
IBBL chairman Abu Nasser Muhammad Abduz Zaher presided over the AGM at China-Bangladesh Friendship Conference Centre in the city in the morning.
"We'll have to go a long way to face the challenges of reducing poverty in Muslim countries, excepting a few ones," Ali said, adding that the 56-member IDB was working on how the condition of the poor people could be improved.
He said Bangladesh has set up a model of working with the poor and the IDB would be very keen to replicate the model elsewhere, specially in Africa.
According to the IDB, the ISFD is scheduled to commence operations on January 10 next year while the ISFD board of directors considered all possible options for mobilising additional resources from member countries to build up adequate base capital for the Fund.
The ISFD was officially launched during the 32nd meeting of board of governors held on May 29-30 this year in Dakar, Senegal, in accordance with the resolutions of the extraordinary session of OIC summit in Makkah in December 2005.
The OIC summit had decided to establish a special fund within the IDB with a view to reducing poverty.
Other objectives of the Fund are eliminating illiteracy, eradicating major communicable diseases such as malaria, tuberculosis and AIDS, and building human and productive capacities particularly in least developed OIC countries.
The Fund has already received contributions from 21 member countries including Saudi Arabia and Kuwait, which have generously pledged one billion and 300 million US dollar respectively.
The Fund is envisaged to take the form of a Waqf, thus ensuring appropriate use of the seed capital of $10 billion.
Another report adds: The IDB is expected to fund the government's post-flood rehabilitation programmes, Finance and Planning Adviser Mirza Azizul Islam said Friday.
"We have agreed in principle in this connection. An IDB mission will come shortly to discuss the quantum, modalities and size of the assistance," the adviser said.
Azizul's remarks came after a meeting with the IDB president now in Dhaka on an official visit.
The government and the IDB signed three agreements worth a total of $ 9.19 million following the meeting.
The IDB has already provided $0.28 million as emergency flood assistance and $1.50 million for rehabilitation activities after flood.
The IDB, according to agreements, will provide a loan of $8.68 million for the Greater Rangpur Agricultural and Rural Development Project, a technical assistance grant of $0.295 million for a feasibility study of Bhola Combined Cycle Power Plant and Barisal Bhola-Borhanuddin 132 kV transmission line project.
It will also provide a grant of $ 0.218 million for feasibility study of the Eastern Refinery Ltd project.
IDB president Ali and Secretary of the Economic Relations Division under the ministry of finance Md Aminul Islam Bhuiyan signed the agreements.
"We have also talked on how to strengthen collaboration in development of ICT," Islam said.
"It's my pleasure to be here today signing the agreement. We are giving our support to Bangladesh's agriculture, power and energy sectors. We hope our cooperation will be strengthened further," the IDB president, who arrived Thursday, said.
Ali is expected to leave for Kuala Lumpur on September 1.