Govt signs deal to get $335.7m Chinese loan for Mongla port revamp

The BNP government has signed a deal with China’s Export-Import Bank to get $335.78 million in soft loans for the expansion and modernisation of the Mongla seaport.

The deal was signed on Saturday, according to a press release issued on Monday by the Economic Relations Division (ERD) of the Ministry of Finance.

Alia Meher, joint secretary at the ERD, and Fengjun Tian, assistant general manager of China Exim Bank, signed the agreement on behalf of their respective sides, the release added.

The Chinese bank would charge 2% interest, with a 20-year repayment period, including the grace period.

The loan would be used under a Shipping Ministry project for expanding and modernising services at the Mongla Port.

Under the project, two container terminals equipped with modern machinery, a container yard, a container delivery yard, and a cargo handling yard will be constructed. In addition, the port will undergo necessary modernisation, and technological upgrade.