Govt wants to use BPC profits in development

BPC’s profit has crossed Tk10,000 crore mark on the back of sliding international oil price. Finance Division sources said they had asked BPC to prepare development plans to be implemented with extra funds instead of repaying dues to the Division. Official sources said the Finance Division released Tk1,000 crore last week to Petrobangla to meet its immediate capital shortage which was created from sales of gas in lower prices than that of International Oil Companies. Senior Finance Secretary Mahbub Ahmed told Dhaka Tribune that they had already started negotiation with the Ministry of Power, Energy and Mineral Resources Division for settling the loan repayment issue with BPC. He said they would monitor and examine projects if they use profit of BPC in development projects. BPC owes some Tk26,300 crore to government as it had taken the money to pay oil import bills during the past 15 years. The crude oil prices are currently hovering below $50 per barrel in international market, after dropping to $44 a barrel in January.