The Japanese donor agency has finally assured Bangladesh of providing nearly US$ 4.55 billion in loans for constructing the second metro-rail in Dhaka from Airport to Kamalapur, officials said on Monday.
The assurance came last week when a mission of the Japan International Cooperation Agency (JICA) wrapped up a meeting with the economic Relations Division in Dhaka.
The loans will be provided under the upcoming 40th Official Development Assistance (ODA) package of the agency.
A senior ministry of finance (MoF) official said the Japanese donor will provide some $4.55 billion in loans out of some $6.54 billion of the 30-kilometre-long MRT line-1 from Airport-Khilkhet-Kamlapur and Khilkhet-Purbachal.
Under the upcoming package, it is likely to provide $466.60 million assistance in the first tranche out of its proposed $4.55 billion loans for building the MRT-1.
As per the government plan, the first phase of the metro-rail will be built by 2026.
Meanwhile, the government is now constructing MRT line-6 from Uttara to Motijheel where the JICA is providing lion's share.
The finance official said since the JICA in the last meeting assured the country of providing assistance for the 40th package, they are expected to sign the loan deal by June next year.
Under the 40th ODA package, the JICA is likely to provide some $2.44 billion loans for five development projects of next year.
The five projects are: the MRT line-1 from Airport through Kamlapur and a connecting line from Khilkhet-Bashundhara-Purbachal, developing a port at Matarbari in Cox's Bazar and Matarbari coal-fired power plant; foreign direct investment promotion project (II) and energy efficiency and conservation promotion financing project (Phase 2).
The Japanese government has pledged to finance the MRT line-1 construction project, considering Dhaka city's perennial traffic congestions.
Meanwhile, the government has already started detailed design of the MRT line-1 between Airport and Kamalapur.
Ministry of road transport and bridges officials said the state-run Dhaka Mass Transit Company Limited had framed a Tk 7.09 billion project to prepare the detailed design of the MRT line-1.
JICA is also providing nearly Tk 4.05 billion assistance for completing the detailed design of the metro-rail line-1.
The ministry official said the consultant will also prepare the bidding document after the detailed design for hiring the contractor for starting the construction work of the 30-kilometre metro line.
The company official said they had a plan to invite international tender by 2021 for starting the construction of the MRT Line-1.
