WB to provide $515m for 2 projects in power, insurance sectors

 DHAKA, April 9, 2018 (BSS) РThe World Bank will provide a total of $515 million to Bangladesh against two projects in the power transmission and insurance sectors.

Two separate loan agreements will be signed tomorrow (Tuesday) afternoon in this regard at the Economic Relations Division (ERD) in city’s Sher-e- Bangla Nagar area, an ERD official told BSS.

The official said ERD Additional Secretary Mahmuda Begum and Qimiao Fan, World Bank Country Director for Bangladesh, Bhutan and Nepal, will sign the loan agreements on behalf of the government and the World Bank respectively.

Out of the total amount, the World Bank will provide $450 million for Enhancement and Strengthening of Power Transmission Network in Eastern Region Project.

The project will expand the electricity transmission network in the eastern region, covering greater Cumilla, Noakhali and part of greater Chattogram. It will provide new electricity connections to some 275,000 households and 16,000 agricultural consumers and reduce power interruptions.

The project will also expand the existing grid network by building 13 new substations and rehabilitating an existing one. It will also construct 290 kilometer and rehabilitate 157 kilometer of the existing transmission lines.

The project will enhance transmission capacity, ensure efficient evacuation of power, and improve grid operations. The World Bank board approved the project on March 29, 2018.

The Washington-based lending agency will also provide $ 65 million for Bangladesh Insurance Sector Development Project which will improve capacity of the state owned insurance corporations.