Dhaka, Oct 5 (Bureau) The Asian Development Bank (ADB) and the Bangladeshi government have signed an agreement for a 400-million-US dollar loan for a highway project in the capital Dhaka. The assistance is the first tranche of a 1.78 billion US dollars multitranche financing facility approved by ADB on August 27 for the SASEC (South Asia Subregional Economic Cooperation) Dhaka-Sylhet Corridor Road Investment Project. Secretary of Economic Relations Division of the Ministry of Finance Fatima Yasmin, and ADB’s Country Director Manmohan Parkash signed the loan agreement on behalf of Bangladesh and the bank at a ceremony in Dhaka on Monday. Sylhet is a city some 240 km northeast of Dhaka.
“The Dhaka-Sylhet Road will open up opportunities for the entire northeast region of Bangladesh, and act as a strategic corridor for subregional, regional and international trade,” said Manmohan Parkash. “The region is well endowed, and the corridor, which is a part of the Asian Highway network, will connect upcoming economic zones in the Sylhet region, catalyze foreign direct investment, reduce transportation and trading costs, increase competitiveness, create employment, and stimulate economic development,” said the ADB official. The Dhaka-Sylhet corridor, once completed, will support a new trade route that connects Chattogram port with India’s northeastern states through the three Bangladeshi land ports of Akhaura, Sheola, and Tamabil, according to the ADB.