The Asian Development Bank (ADB) will provide a budget support of $500 million to Bangladesh for economic recovery, said the bank's Country Director Edimon Ginting.
The budget support will also support the government agendas to accelerate implementations of policies on climate change, the ADB country director said.
He made the statements following a meeting with Planning Minister MA Mannan on Thursday (15 September).
Country Director Edimon Ginting also said, "Challenges coming from the global uncertainty has affected the economy slightly but I think the country is managing it well."
Following the meeting Planning Minister MA Manna said he is very pleased with the decision and this loan will be helpful in rehabilitation of the flood affected population.
About the interest rate of the loan ADB Country Director Edimon Ginting said for now it has been fixed at 0.5%. Bangladesh will have a grace period of three years and the country will get 15 years to repay the loan.
However, both the ADB country director as well as the planning minister have said that the terms of the loan are not yet concrete. There might be some alterations following discussions regarding the matter.
