During the Islamic Development Bank (IsDB) annual meeting program held in Riyadh, a credit deal for EURO 270.57 million (about US$289.52 million) named ‘Rural and Peri-Urban Housing Finance Project-Second Phase’ was signed.
This project will run for five years after it becomes effective.
The Islamic Development Bank (IsDB) and the Government of Bangladesh (GoB) inked the agreement yesterday.
According to a news statement issued today, the loan agreement was signed by Dr. Mansur Muhtar, Vice President of IsDB, and Md. Shahriar Kader Siddiky, Secretary, Economic Relations Division, Ministry of Finance.
During the signing, Finance Minister Abul Hassan Mahmood Ali and IsDB Chairman Dr. Muhammad Al Jasser were present there.
The project will be implemented by the Bangladesh House Building Finance Corporation under the Financial Institutions Division.
The objectives of the project are to provide affordable housing loans for the construction of well-planned, sustainable and eco-friendly multi-storied residential buildings with essential amenities for the low and lower-middle-income population living in rural and peri-urban areas of the country.
Because of this, it will be feasible to save arable land by guaranteeing the finest and most efficient use of land through the execution of this project.
Additionally, it will improve the House Building Finance Corporation’s ability to finance house building loans.
Since its founding, IsDB—one of Bangladesh’s most reliable multilateral development partners—has continuously supported the country’s socioeconomic development through grants, project loans, trade finance, private sector financing, export credit guarantees, and other means.
