In a major breakthrough in building the country’s first metro rail system in Dhaka, Japan has approved $2.1 billion in soft loan for the $2.7 billion project.
Finance Minister AMA Muhith disclosed this yesterday at his secretariat office after Japanese Ambassador in Dhaka Shiro Sadoshima handed over the approval letter to him.
News Source: thedailystar.net
“Japan government has approved the loan. They will give us $133 million within the current fiscal year,” he told journalists.
Construction of the metro rail will begin by June next year and end in 2017, Muhith said
Metro rail will help reduce the perennial traffic congestion in the capital and facilitate quick movement of commuters. Implementation of this project will be a historic step, he said.
Officials of Bangladesh government and Japan International Cooperation Agency (Jica) will start negotiations on the approved loan by the end of this month. They expect an agreement in this regard would be signed next month, communications ministry sources said.
“The government is now ready to start loan negotiation with Jica as both the sides are very sincere about moving fast with building the 20.1 kilometre metro rail starting from Uttara Third Phase to Motijheel,” said an official of the ministry.
