Finance Minister AHM Mustafa Kamal has sought support from the Islamic Development Bank (IsDB) for food security, medical and development of the agricultural system and its mechanisation.
Kamal sought the support during a teleconference with IsDB president Dr Bandar MH Hajjar on Saturday over the impact of COVID-19 on the economy and also on the human society, reports BSS quoting a finance ministry press release.
In response, the IsDB President accepted that proposal from the finance minister saying that the IsDB team and the Bangladesh team would later finalise the financing modality and the timeline through discussions.
Dr Bandar MH Hajjar also assured that his bank is beside the people and also the government of Bangladesh in this crisis period of Novel Coronavirus (COVID-19) which is now sweeping across the world.
“I want to assure you that the IsDB is with the people and also with the government of Bangladesh while it would also remain beside the country in future, Insha Allah,” Hajjar told Kamal.
Kamal said the economic activities of Bangladesh have almost come to a standstill due to the countrywide general holidays owing to coronavirus.
To offset the shock from COVID-19, he mentioned that Prime Minister Sheikh Hasina has already announced stimulus packages worth $11.6 billion which is 3.5 percent of the GDP to be utilized in expanding public expenditure, widening the social safety nets, and also to increase the supply of money.
The finance minister said that provision has also been incorporated in the stimulus packages to provide working capital to the affected industries, services sector and small and cottage industries through the banking sector.
“Financing is a big challenge for us to face the current situation, the most important thing is now to ensure food security for people and also to rehabilitate the low-income people,” Kamal added.
The IsDB President lauded the Prime Minister for announcing such huge amount of stimulus packages in the wake of COVID-19 as well as various steps of the government to face this crisis.
The finance minister lauded the IsDB President for announcing $2.3 billion strategic preparation and support package for its member countries to face the adverse impact of COVID-19.
Praising highly the dynamic leadership and role of Dr Hajjar, Kamal hoped that the initiatives taken by the IsDB would play an important role to overcome the adverse impact of COVID-19 on the member countries and on their economies.
Bangladesh is a founding member of IsDB and has been closely associated with the Jeddah-based lending agency since 1974. The IsDB has launched a regional office in Dhaka in 2018 to boost its assistance to Bangladesh in various socio-economic sectors.
The finance minister hoped that with this regional hub office, the regional relations with the IsDB would be boosted further.
Currently there are 11 IsDB supported projects in Bangladesh and their implementation progress is satisfactory.
