Development partners and countries provided Bangladesh with USD 294.5 million in loans in the first two months of the current fiscal year (July-August).
Meanwhile, Bangladesh had to repay nearly USD 700 million in principal and interest on previously borrowed loans during the same period.
The amount repaid was 237 per cent higher than the amount received in loans. Foreign loan disbursements in July-August were equivalent to 40 per cent of the amount disbursed during the same period last year.
The Economic Relations Division (ERD) published an updated report on the foreign loan situation for July-August today, Sunday. The report contains this information.
According to ERD sources, Bangladesh received a total of USD 750 million in foreign loans in July-August last year. This year, it received USD 294.5 million during the same period. The entire amount was provided by development partners and countries as project loans.
The Asian Development Bank (ADB) provided the largest amount, USD 128.7 million. The World Bank provided USD 73.9 million, while Japan provided nearly USD 40 million.
Foreign loan repayments have increased significantly over the past few years. In July-August of the current fiscal year, Bangladesh had to repay USD 698.9 million. Of this, USD 516 million was principal and more than USD 182.8 million was interest.
During the same period last year, the government had to repay around USD 670 million in principal and interest on foreign loans.
In July-August, Bangladesh received commitments for only USD 240 million in foreign loans. The amount was also USD 240 million during the same period last year.