Billion dollar LoC from India

In keeping with the current economic relationship, Bangladesh has been offered a new Line of Credit (LoC), worth of about a billion dollars by India.

bd-indiaFinance Minister AMA Muhith plans to use this fund in health and education sectors. He mentioned the plan after a meeting with visiting Sujata Mehta, secretary of Indian external affairs ministry (Multilateral and Economic Relations), at his office at secretariat.

India is keen to know what Bangladesh plans to do with the money, said the minister. The amount will help implement development projects for more economic prosperity, sources at Economic Relations Division (ERD) hinted.

During former Indian Prime Minister Manmohan Singh’s tenure, Bangladesh received the first one billion-dollar soft loan from India in 2010 through a deal opening a new era in the relations between the two neighbors.

The line of credit is still the single largest loan to Bangladesh from any nation, development bank or donor agency.

– Ittefaq Report