Published :
Updated :
For all latest news, follow The Financial Express Google News channel.
Bangladesh's interim government is working to improve relations with Middle-Eastern development partners as the ties were in a shambles during the ousted Sheikh Hasina regime, officials said Tuesday.
The government has not only improved communications for economic cooperation with Gulf and Middle-Eastern donors but is also going to hold three Joint Economic Commission (JEC) meetings with three key countries, Economic Relations Division (ERD) officials said.
The JEC meets will be held with Saudi Arabia, Turkey, and the UAE by June aiming to improve economic and business cooperation with Gulf and Middle-Eastern nations.
The meetings will be held after many years, they said, to warm up the chilled interaction.
"We are working to improve relations with Gulf and Middle-Eastern donors. We will arrange three Joint Economic Commission meetings by June next," Mohammad Hasan Arif, an additional secretary and wing chief (Middle East) at the ERD, told the FE.
"Historically, Gulf and Middle-Eastern development partners have been helpful to Bangladesh. In the meantime, the relationship with the last government was a bit sour. Now we are working to improve it," he added.
He said they had already requested ME donors, including the Islamic Development Bank (IsDB), Saudi Arabia, Abu Dhabi Fund for Development, UAE, OPEC Fund for International Development (OFID), Kuwait, Qatar, and Turkey, to enhance their cooperation with Bangladesh.
"Many of them have already responded positively and some have already discussed possible needs of Bangladesh with us," Mr. Arif said.
They have already taken preparation for holding a JEC meeting with Turkey by March where investment potential and economic-cooperation issues between the two countries will be discussed, the additional secretary said.
Saudi Arabia and the United Arab Emirates have also agreed to hold JEC within June this year.
The IsDB's financing wing-the International Islamic Trade Financing Corporation (ITFC)-in December last finalised a US$2.75-billion loan to Bangladesh under a trade-financing arrangement for purchasing oil, LNG, and fertiliser in the next year 2025-26.
As per the negotiations, the lender will provide $1.65 billion to the Bangladesh Petroleum Corporation (BPC) for purchasing fuel oils in the next FY 2026, $600 million to Petrobangla to purchase LNG, and another $500 million for fertilizer.
Besides, the IDB has come forward with its $324-million loan for constructing five bridges in the northeastern areas of Bangladesh, another ERD official said.
He said the ERD had a virtual meeting with an OPEC Fund Director in January last where the government requested the development partners to provide $1.0 billion worth of financial support per annum.
The OFID is likely to sign a three-year economic cooperation framework with Bangladesh under which it will provide financial and otechnical support, the ERD official said.
In the last FY 2024, the IDB provided $34.21 million worth of loans while OFID provided $6.54 million, Kuwait $10.97 million and Saudi Arabia $2.02 million.
The IDB has so far provided $1.44 billion worth of support (except ITFC's commercial loan) for Bangladesh's development works till the last FY 2024, ERD data showed.