Written by The Banking Post
Bangladesh and the Asian Development Bank (ADB) on Monday signed agreements worth $269.1 million in loans and $62.6 million in grants to strengthen urban services, power distribution, and support displaced people from Myanmar.
The agreements were signed at the Economic Relations Division in Dhaka by ERD Secretary Md Shahriar Kader Siddiky and ADB Country Director Hoe Yun Jeong. ADB’s South Asia Director General Takeo Konishi attended the ceremony.
Khulna water project gets $154m
The largest package—$150 million in loans and a $4 million grant—will finance the second phase of the Khulna Water Supply Project. It aims to expand piped water to 1.78 million residents, reduce reliance on groundwater, and build climate-resilient infrastructure.
The project will introduce smart water supply management, extend district metering systems, and improve the operations of Khulna WASA. Technical assistance will also support studies on artificial recharge and groundwater management.
Power network upgrade in Rajshahi, Rangpur
Another $91 million loan, along with a $2 million Japanese grant, will modernise power distribution in Rajshahi and Rangpur.
The project will add new substations, build switching stations, and upgrade transformer repair facilities with gender-inclusive designs. It also includes rooftop solar with battery storage for control centres and nano-grids for flood shelters on remote islands.
ADB officials said the initiative will drive “sustainable, resilient, and digital transformation” of the power sector while creating livelihood opportunities for vulnerable groups.
Aid for displaced Rohingyas and hosts
Bangladesh will also receive a $58.6 million grant and a $28.1 million concessional loan to improve living conditions for displaced Rohingyas and host communities in Cox’s Bazar and Bhasan Char.
The project will expand access to water, sanitation, energy, food security, and roads. Planned works include solar-powered streetlights, cyclone shelters, mini water systems, biogas optimisation, and surface water treatment plants.
Over 1 million displaced people from Myanmar currently live in 33 camps in Cox’s Bazar, while around 36,000 have been relocated to Bhasan Char.
