On June 27, the Bangladeshi government formalized this commitment by signing a $400 million loan agreement (equivalent to JPY 62,773,999,681) with AIIB. Mirana Mahrukh, Additional Secretary of the Economic Relations Division (ERD), and Rajat Misra, Acting Vice President of AIIB’s Public Sector Clients Department, Region 1, represented Bangladesh and AIIB, respectively, during the signing.
The Finance Division initiated this program, which focuses on three key reform areas: (a) establishing a supportive environment for implementing climate priorities across various ministries, (b) facilitating climate adaptation priorities, and (c) accelerating actions to mitigate climate change.
The loan, offered under AIIB’s standard terms and conditions, has a maturity period of 25 years, including a five-year grace period. It carries an interest rate based on the Reference Rate Variable Spread and a Front-End Fee of 0.25%.
