Korea will provide a $6.26 million loan to Bangladesh under a supplementary agreement in the maritime sector.
In this regard, a supplementary loan agreement on the "Establishment of Global Maritime Distress and Safety System (GMDSS) and Integrated Maritime Navigation System (IMNS)" project amounting to $6.26 million from the Economic Development Cooperation Fund (EDCF) was signed between the government of Bangladesh and Exim Bank of Korea.
Mirana Mahrukh, additional secretary of Economic Relations Division (ERD), and Kim Kisang, director general of Exim Bank of Korea, signed the loan agreement on behalf of the government of Bangladesh and Exim Bank of Korea respectively, 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 $37.5 million for the project was signed between the two sides.
The objectives of this project are to construct coastal radio stations at seven sites, including lighthouses, and to establish transmission links among the command and control centre, including the Department of Shipping headquarters, and seven coastal radio stations.
Since 1993, on behalf of the Korean government, Exim Bank of Korea 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.