The Eastern Bank Limited and the International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank Group (IsDB), have today signed an important financing agreement to support the private sector in Bangladesh. The signing ceremony was held during the inauguration of the IsDB Group’s new Bangladesh Regional Hub. This agreement follows the approval of a US$ 1 billion Financing Plan for the energy sector agreed on by ITFC and the Government of Bangladesh earlier this year.
In addition to the crude oil financing to the Government of Bangladesh, ITFC is keen to support the private sector and SMEs in partnership with the local banks in Bangladesh. ITFC’s financing to EBL is aimed at supporting the export-oriented Readymade Garments industry as well as other industrial SMEs, which are significant contributors to employment and forex generation.
“Bangladesh is an important development partner within the region for ITFC. We have provided more than US$ 12 billion towards supporting access to reliable energy for over 37 million people over the course of the past 10 years in Bangladesh. We would like to extend our support beyond the energy sector and supporting the private sector, SMEs in particular, is one of our strategic guiding principles,” said Eng. Hani Salem Sonbol, ITFC Chief Executive Officer.
He added, “It is our hope that the signing of this agreement will send a strong signal of our continued commitment to the development and economic security of the people of Bangladesh.”
At the event, Ali Reza Iftekhar, Managing Director and CEO of Eastern Bank Limited reiterated initiation of solid relationship with ITFC as a partner Development Financial Institution and conveyed his gratitude for all the supports that ITFC is rendering for the development of financial sector of Bangladesh. He also pointed that EBL will continue its support for the growth and development of international trade businesses in Bangladesh.
Among the high-level dignitaries in attendance at the inauguration of the new IsDB Regional Hub, during which the agreement was signed, were Bangladeshi Prime Minister, Sheikh Hasina, Minister of Finance, Abul Maal Abdul Muhith as well as IsDB Group President, Dr. Bandar M H Hajjar.
Source Zawya