Staff Reporter :
Bangladesh and Japan yesterday signed the exchange of notes of the 44th Official Development Assistance (ODA) yen loan for the aviation sector.
This crucial funding, amounting to approximately USD 540 million or 76,635 million yen, is earmarked for the expansion of Dhaka’s Hazrat Shahjalal International Airport (HSIA), reads a JICA press release.
The fund is the third tranche of Japanese loans for the airport expansion project, amounting to a total of $2.21 billion.
IWAMA Kiminori, the Japanese ambassador to Bangladesh, and Shahriar Kader Siddiky, secretary of the Economic Relations Division, signed the loan deal in Dhaka.
The 44th ODA loan package specifically targets the Hazrat Shahjalal International Airport Expansion Project (Phase III).
The terms include an interest rate of 1.30 percent per annum, with a repayment period of 20 years following a grace period of 10 years, as outlined by the Japanese Embassy in Dhaka.
According to the press release, the installment will be used for constructing Hazrat Shahjalal International Airport’s Third International Passenger Terminal, a Cargo Terminal, and associated facilities.
A corresponding loan agreement was signed by Yoshida Hiroshi, Senior Representative of JICA’s Bangladesh Office, and Shariar Siddiky, emphasizing the commitment to meet the growing aviation demands, enhances airport capacity, improve accessibility, and bolster security.
This expansion is anticipated to significantly contribute to Bangladesh’s economic development and regional connectivity, the statement said.
Prime Minister Sheikh Hasina, at the recent soft opening of Dhaka Airport’s Third Terminal, highlighted the importance of Japanese companies’ involvement in this grand project.
Ongoing intensive discussions between the Japanese consortium and airport authorities reinforce Japan’s commitment to fostering Bangladesh’s development through this strategic partnership, aiming for mutual prosperity.
