Industries Ministry has asked the finance division to arrange the remaining payment of $1.05 crore Pakistani supplier’s credit in 26 installments.
The credit had been taken 25 years ago for setting up Pabna Sugar Mills during the then BNP regime, official sources said.
Industries Secretary Md Mosharraf Hossain Bhuiyan in a letter sent to Finance Secretary Mahbub Ahmed requested disbursement of the fund from the current fiscal year budget.
The letter reads: “Due to financial loss, the state-run Pabna Sugar Mills failed to pay the remaining installments of the credit after paying 15 such installments in 2014.”
Last month Pakistani authorities asked the Industries Ministry to pay the rest amount of money to Federal Reserve Bank of New York.
The credit interest rate was only 2% per annum while the penal interest rate 1% plus London Inter Bank Offered Rate, added the letter.
Bangladesh Sugar and Food Industries Corporation conducted an audit through the local chartered accountant firm AB SAHA & company regarding payment of the Pakistani supplier’s credit which now stands at $1.05 crore in 2015.