20/10/2012
High-profile China team due today
Aid deals worth $260m to be signed
FHM Humayan Kabir
Bangladesh is likely to get a big boost to improving the economic ties with China as a high-profile delegation from Beijing is coming to Dhaka today (Saturday) for expanding cooperation between the two nations, officials said Friday.
"The Chinese team will sign two aid deals worth nearly US$ 260 million with Bangladesh government on Sunday, the second day of its two-day visit to Dhaka," a senior Ministry of Foreign Affairs (MoFA) official told the FE.
The 63-member delegation, led by Li Changchun, member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, will call on Bangladesh's President, the Prime Minister and the opposition leader in parliament on Sunday.
Mr Changchun, also the propaganda chief of the CPC, will participate in a bilateral luncheon meeting at Jamuna State Guest House in Dhaka with Foreign Minister Dr Dipu Moni on Sunday, he told the FE.
The senior MoFA official said Dhaka and Beijing would sign a $236 million loan deal for setting up a river water treatment plant beside the Padma river to supply water to Dhaka city and another $24 million in grant deal.
Under the $236 million loan, Dhaka WASA will set up a water treatment plant beside the Padma river at Jashalia. The WASA will bring water from the plant in a bid to supply it across the capital city.
Under the proposed grant aid deal, Dhaka will be able to utilise the $24 million fund in any development project of the country.
Another senior foreign ministry official said the visit of the Chinese delegation would enhance the economic relations between the two nations as Bangladesh was interested to boost its ties with the emerging economic superpower China.
An Economic Relations Division (ERD) official said, "We would request the Chinese delegation to expedite its financial support for the development projects in Bangladesh."
Dhaka has already sought nearly $5.0 billion's worth assistance for its 29 development projects for upgrading infrastructure and boosting the socio-economic condition.
"During the bilateral discussion, we will also seek $290 million financial assistance as grant for constructing the Karnaphuli tunnel in Chittagong," the ERD official told the FE.
The Chinese government has already assured of proving the fund as loan for building the tunnel under the Karnaphuli river, which will now be approached to provide it as grant, he added.
Earlier, Beijing had finalised loans for the 7th Bangladesh-China Friendship Bridge on the Arial Khan river in Kazirtek, Bangladesh-China Friendship Exhibition Centre in Dhaka, setting up of Shahjalal Fertiliser Factory and 3G telecommunication system upgrading for the state-owned Teletalk.
In January this year, the Chinese government has confirmed its single largest loan for building the Shahajalal Fertiliser Factory. A total of $235 million in concessional loan and $325 million in preferential buyers' credit has been offered for the fertiliser factory project.
