The Board of Investment (BoI) Scrutiny Committee for approval of foreign loan/supplier’s credit on Sunday approved US$ 106.6 million foreign borrowings against 13 projects.
The approval was given at the 82nd meeting of the BoI Scrutiny Committee for Approval of Private Sector foreign borrowings held on Sunday at the Bangladesh Bank with convener of the committee and Bangladesh Bank Governor Dr Atiur Rahman in the chair, said a central bank release.
The committee approved US$ 106.6 million for 13 (thirteen) projects, including as US$ 20.0 million for Shah Cement Industries Limited, US$ 45.0 million for Airtel Bangladesh Limited, US$ 12.70 million for Samuda Chemical Complex Limited, US$ 4.50 million for Premier Cement Mills Limited, US$ 3.0 million for Rahimafroz Accumulators Ltd, US$ 5.0 million for Genesis Fashions Ltd, US$ 3.0 million for Karupannya Limited, US$ 3.5 million for Envoy Textile Ltd, US$ 2.5 million for Rose Dresses Ltd , US$ 2.80 million for Plummy Fashions Limited & rest of the amount for other three companies.
The highest interest rate of the approved proposals is 6-month LIBOR+4.50% p.a.
The committee approved foreign loan of US$ 1821 million in FY 2013 which was 43 percent higher than FY 2012 (US$ 1040 million). There was a continuous growth in inflow of foreign loans over the last five years and this uptrend continues even today.
The main purpose of this foreign loan is to import capital machinery and equipments of the project.
The committee officials (two Joint Directors of Bangladesh Bank) informed the committee that more foreign financing proposal is under processing and close consideration for the approval.
The committee also hoped that this type of foreign financing will be helpful to keep the Dollar price stable, the deficit of country “Balance of Payment” will become decrease and it will create more job opportunity for the country.
The committee members, including representatives of the Prime Minister’s Office, Ministry of Finance, Ministry of Commerce, Ministry of Industries, Board of Investment and officials of the committee secretariat were also present.
-UNB
