Dhaka seeks external funds to secure fuel, LNG imports amid war

Bangladesh is seeking external funds to secure fuel and liquefied natural gas (LNG) imports, and is negotiating with major development lenders due to the escalating conflict in the Middle East.

As the country relies on imports for about 95 per cent of its energy needs, the government has been rationing fuel, though the restrictions were eased for the Eid al-Fitr festival.

Bangladesh is seeking external funding to secure fuel and LNG imports amid escalating tensions in the Middle East.
A senior official said Dhaka is in talks with major lenders, including the ADB, World Bank, IITFC and AIIB, to mobilise fresh support.
The government has no plans to raise domestic fuel prices at this stage.

Rashed Al Mahmud Titumir, the prime minister’s adviser on finance and planning, said Dhaka is in talks with the Asian Development Bank (ADB), the World Bank, the International Islamic Trade Finance Corporation and Asian Infrastructure Investment Bank to mobilise fresh funding, according to a global newswire.

He expects about $1.3 billion from the International Monetary Fund under an existing programme, along with an additional $250 million to $500 million on top of roughly $500 million in budgetary support from the ADB.

Bangladesh is exploring procuring additional supply from the United States, Southeast Asia, Nigeria and producers in the Middle East, to avoid over-reliance on a single source, he said, adding there is no plan to raise fuel prices.

Fibre2Fashion News Desk (DS)