The Federal Republic of Germany recently signed an agreement to provide Bangladesh with 80 million Duetsche Mark (about 10.6 million pounds sterling) in development funds.
The Federal Republic of Germany recently signed an agreement to provide Bangladesh with 80 million Duetsche Mark (about 10.6 million pounds sterling) in development funds. The agreement signed in Dacca at the end of last month, provides for the loan to be repaid over 50 years with a grace period of ten years. The West Germans are the first country to extend loans to Bangladesh at a nominal rate of 0.75 per cent.
The West German Economic Delegation in Dacca also confirmed old agreements giving the Bangladesh Government another 42 million DM (about 5.6 million pounds sterling) to use on projects partly completed.
The 80 million DM loans comprise ??? 49 million Dm (about 5.5 million pounds sterling) for commodity aid, 30 million DM (about 4 million pounds sterling) as project aid and one million DM (about 133,000 pounds sterling) for financing urgent maintenance on the Ashugani Power Station.
The aid agreement was signed by the West German delegation leader, Dr. Walter Jesser and Dr. M.A. Sattar, Secretary of the Bangladesh Ministry of Planning. Bangladesh Ambassador to West Germany Mr. Humayun Rashid Chowdhury and West Germany Ambassador in Dacca, Dr. Jungfleisch were also present during the signing.
SYNOPSIS: A West German economic delegation recently signed an agreement in Dacca to lend Bangladesh over ten million pounds sterling. The Bangladesh Ministry of Planning Secretary, Doctor Sattar, and the country's Ambassador to West Germany, Mr. Chowdhury were present at the final negotiations.
West Germany's delegation leader Doctor Jesser explained the details of the loan to the Bangladesh officials.
West Germany's Ambassador in Dacca, Dr. Jungfleisch was present to witness the new agreement. The West Germans also confirmed old agreements giving Bangladesh another five and a half million pounds to complete unfinished projects.
The new loan is made up of five and a half million pounds in commodity aid, four million pounds in project aid and 133,000 pounds to finance urgent maintenance to the Ashugani Power Station. The agreement provides that the loan, granted at a rate of 0.75 per cent, be repaid over 50 years with a grace period of ten years.