Monday, 28 November, 2022

Bangabandhu Tunnel

Chinese firm to get 65pc payment in taka

  • Staff Correspondent
  • 17 November, 2022 12:00 AM
  • Print news

To save foreign currency, the government on Wednesday approved a proposal to pay a Chinese service provider for the Bangabandhu Sheikh Mujibur Rahman tunnel project in local currency taka.

According to Bangladesh Bridge Authority (BBA), 65 percent of the payment will be made in taka and 35 percent in US dollars.

The Chinese firm was appointed as service provider at a cost of Tk 9.84 billion for a five-year period.

In addition to collecting tolls from tunnel users, it will also be in charge of operating and maintaining the tunnel.

The Chinese CCCC will receive Tk 6.57 billion annually, or 65 percent of the payment in local currency, and $35.162 million, equivalent to Tk 3.27 billion in US dollars.

The approval came at the meeting of the Cabinet Committee on Government Purchase (CCGP) held virtually with Finance Minister AHM Mustafa Kamal in the chair.

The committee also approved three separate proposals to import a total of 180,000 metric tonnes (MT) of fertiliser from three countries.

Under an approved proposal, Bangladesh Chemical Industries Corporation (BCIC) will import 90,000 MT of urea fertiliser in four equal lots while Bangladesh Agriculture Development Corporation will import the remaining 90,000 MT MOP and DAP fertiliser in two lots.

In one lot, the BCIC will import 30,000 MT of bulk granular urea fertiliser from Fertiglobe Distribution Ltd, UAE at a cost of Tk 1.89 billion with per metric tonne costing $594.67.

Some 60,000 MT of the same urea will be imported by the BCIC from SABIC Agri-nutrients Company of Saudi Arabia in two lots (each 30,000 MT) at the same rate and the total cost will be Tk 3.88 billion.

The BCIC will also import 30,000 MT of phosphoric acid from Sun International of FZE, the UAE (local agent RK Enterprise, Dhaka) at a contract value of Tk 2.15 billion.

The BADC, under the agriculture ministry, will import 50,000 MT of MOP fertiliser from Canada at a cost of Tk 4.17 billion with a per MT price of $821.

It will import 40,000 MT of DAP from Saudi Arabia at a cost of Tk 3.09 billion with a per MT price at $826.50.

The committee gave nod to a proposal of the Bangladesh Power Development Board (BPDB) to award a Tk 1.03 billion civil work contract to Ideal Electrical Enterprise Ltd, under the Bangladesh Power Distribution System Improvement, Mymensingh zone project.