DHAKA, Dec 9, 2024 (BSS) - The Asian Development Bank (ADB) today approved a 
US$100 million loan in additional financing to support critical 
infrastructural development through public-private partnerships (PPP) in 
Bangladesh. 

"This project will enable Bangladesh to catalyze private sector financing, 
reduce pressure on public finance to address infrastructural development 
deficits, and create more employment," said ADB Country Director for 
Bangladesh Hoe Yun Jeong. 

"The loan will enhance the financial and institutional capacity of the 
Bangladesh Infrastructure Finance Fund Limited (BIFFL) to deliver its mandate 
of fostering an environment that supports sustainable private investments 
through the mobilization of PPP, with a strong focus on gender and climate 
change," Yun added.

Bangladesh is undergoing a transformative phase, driven by economic shifts 
and recent political transition. The country's infrastructure development, 
primarily driven by the public sector, faces challenges due to limited 
resources and implementation constraints, said an ADB press release. 

A key hurdle in infrastructure investment is the shortage of long-term debt 
funding in the local market.
 
The ADB loan aims to address this gap by providing long-term financing to 
BIFFL, facilitating the completion of critical infrastructure projects that 
will foster economic growth.

The Strengthening Bangladesh Infrastructure Finance Fund Limited Project - 
Additional Financing will strengthen BIFFL's capacity to crowd in private 
sector financing and facilitate new technologies brought by international 
sponsors and foreign direct investors.
 
With ADB's support, BIFFL will establish gender screening of sub-project and 
develop a gender equality and social inclusion strategy.

ADB is committed to achieving a prosperous, inclusive, resilient and 
sustainable Asia and the Pacific while sustaining its efforts to eradicate 
extreme poverty. 

Established in 1966, it is owned by 69 members- 49 from the region.