South Korea will provide a $6.26 million loan to Bangladesh under a supplementary agreement in the maritime sector.
A supplementary loan agreement has been signed in this regard for "Establishment of Global Maritime Distress and Safety System (GMDSS) and Integrated Maritime Navigation System (IMNS)" at a cost of $6.26 million.
Korean Economic Development Cooperation Fund (EDCF) will provide the loan for which agreement has been signed between the government of Bangladesh and the Korea Eximbank.
Mirana Mahrukh, Additional Secretary of, Economic Relations Division (ERD) and Kim Kisang, Director General, of Korea Eximbank, signed the loan agreement on behalf of their organizations, said an ERD press release.
The Department of Shipping under the Ministry of Shipping will implement the project. Earlier, the main loan agreement amounting to $37.50 million for the project was signed between the two sides.
The objectives of this project are to set up coastal radio stations at 7 sites, including lighthouses and to establish transmission links among the command and control center including the Department of Shipping Headquarters and 7 coastal radio stations.
Since 1993, on behalf of the Korean Government, the Korea Eximbank has been providing soft loans to various priority development sector projects in Bangladesh.
The interest rate of the loan will be 0.01% and the repayment period will be 40.5 years including a grace period of 15.5 years, the press release said.
