EIB provides $283m soft loan for healthcare development


FE Team | Published: December 30, 2021 17:59:20 | Updated: December 30, 2021 21:29:24


EIB provides $283m soft loan for healthcare development

European Investment Bank (EIB) provides Bangladesh $283.06 million (EUR 250 million) to purchase Covid-19 vaccine and strengthen the healthcare system.

A finance contract (FC) was signed in this regard between Bangladesh and EIB under a project titled 'Bangladesh Covid-19 Public Health Programme', as per a report on UNB.

Fatima Yasmin, Secretary, Economic Relations Division (ERD) and Edvardas Bumsteinas, head of Asia and Pacific Division, and Imanol Lecue Gurtubay, Legal Counsel, signed the loan agreement on behalf of Bangladesh and EIB respectively.

The main objectives of the finance programme are to purchase and supply vaccines for the prevention of Covid-19 infections, strengthen the healthcare system and expand social security in the health sector.

"It's a concessional loan to the government of Bangladesh, with a repayment period of twenty years, including five years' grace period. This is their first-ever highest contribution as part of their development cooperation to our country," Yasmin said.

EIB is an important development partner of Bangladesh. It co-financed four projects along with ADB amounting to $423 million in railway and water treatment plants of Dhaka Wasa. Unlike the previous co-financed contribution, this is the first time standalone contribution for Bangladesh.

 

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