The government agencies have decided to receive a sizeable fund under the Japanese 40th loan package to implement five development projects.
The projects include one that seeks to build another metro rail route, said officials on Monday.
The agencies concerned discussed the issue with the Economic Relations Division (ERD) at an inter-ministerial meeting in Dhaka on the day where the implementing agencies concerned finalised their loan decision.
"The amount of the possible Official Development Assistance (ODA) package is likely to be more than US$ 1.2 billion. After the negotiations next month, the amount of funding will be finalised through working out details about the five projects," said an ERD official.
Under the proposed 40th ODA package of the Japanese donor -- Japan International Cooperation Agency (JICA), the Bangladesh government will implement five development projects including the MRT line-1 from Airport to Kamalapur.
"We have finalised the decision to take out loans from JICA. Now we will inform JICA to proceed with the loan package," said a senior ERD official.
"We are hopeful that the 40th ODA package will be signed by February next year," he told the FE preferring anonymity.
The route of the MRT line-1 is: Airport-Khilkhet-Natun Bazar-Badda-Malibagh-Kamalapur and a connecting line from Jamuna Future Park-Bashundhara-Purbachal.
The JICA will provide necessary funds for developing a port at Matarbari in Cox's Bazar and Matarbari coal-fired power plant.
Besides, the JICA will provide loans for the ongoing Foreign Direct Investment project (II) and the Energy Efficiency and Conservation Promotion Financing Project (Phase 2).
The government is now constructing the MRT line-6 from Uttara to Motijheel with the financial support from JICA.
Japan has assured the government of financing the MRT line-1 construction project as Dhaka roads are heavily congested.
The Bangladesh government has already started detailed design of the MRT line-1 between Airport and Kamalapur.
The Ministry of Road Transport and Bridges (MoRT&B) officials said state-run DMTCL had framed a Tk 7.09 billion project to prepare detailed design of the MRT line-1.
The JICA is also providing nearly Tk 4.05 billion worth of assistance for completing the detailed design of the metro-rail line-1.
Officials said the consultant will also prepare the bidding document after completion of the detailed design for the 27-kilometre metro line.
The Dhaka Mass Transit Company Ltd (DMTCL) official said they had a plan to invite international tender by 2021 for starting the construction of the MRT line-1.
The Matarbari port will be developed mainly to handle imported coal for running the proposed power plants at Matarbari, the proposed largest power and energy hub of the country.
kabirhumayan10@gmail.com