Bangladesh to get $100m from WB to fight Covid-19

Staff Correspondent

16th March, 2020 08:58:19 printer

Bangladesh to get $100m from WB to fight Covid-19

Bangladesh is going to receive $100 million funds from the World Bank to fight coronavirus outbreak that has been declared a global pandemic by the WHO.

The Washington-based lender has written a letter to Finance Minister AHM Mustafa Kamal with regard to this, Economic Relations Division (ERD) officials confirmed Monday.

The funds will be a pie of the WB’s announced $12 global assistance package to fight the disease across the world.

In the wake of global spread of the Covid 19 virus cases, the lender On March 03 announced that it will give the money to its member countries so that they can recoup losses to health and economy.

IDA, IBRD and IFC will jointly provide the fund to help developing countries overcome the situation.

It has not been settled yet whether the funds will come in form of loan or grants, ERD officials added. 

‘It is still unknown that if the money will come as loan or grants. But we will request the World Bank so that it gives us as grants,” an ERD high official said.

If the funds come as loan, it will bear 2 percent interest rate and is repayable in 25 years.

Earlier, International Monetary Fund (IMF) announced $50 billion loan package for its member countries to recoup economic losses.

Another lender Asian Development Bank recently estimated that Bangladesh may incur a loss of $3 billion if the negative impacts of coronavirus last for at least six months.