Staff Correspondent:

Japan has signed the second batch of its 45th Official Development Assistance (ODA) Yen Loan agreement with Bangladesh, amounting to 85.819 billion yen (approximately $575 million), to support key infrastructure and energy projects.

The Exchange of Notes was signed on Tuesday (March 25) by Japanese Ambassador to Bangladesh SAIDA Shinichi and Economic Relations Division (ERD) Secretary Md Shahriar Kader Siddiky, according to a press release.

Following this, ICHIGUCHI Tomohide, chief representative of the Japan International Cooperation Agency (JICA) Bangladesh Office, and Siddiky signed the relevant loan agreement.

The funding will support two major projects.

The first is the Food Safety Testing Capacity Development Project, with a loan of 28.699 billion yen, which aims to enhance food safety inspection capabilities in major cities, including Dhaka.

This project will develop necessary infrastructure to ensure scientific-based inspections, contributing to the food processing industry’s growth, industrial diversification, and the prevention of food borne diseases.

The second project, the Matarbari Ultra Super Critical Coal-Fired Power Project (VIII), is backed by a 57.120 billion yen loan. It aims to construct a high-efficiency, ultra-supercritical pressure coal-fired power plant to meet Bangladesh’s growing electricity demand.

The project is expected to enhance energy supply capacity and diversify the country’s energy sources, contributing to economic growth.

Ambassador SAIDA Shinichi highlighted Japan’s commitment to Bangladesh’s economic development through ongoing and new projects. He stated that this agreement reflects Japan’s “steadfast partnership with Bangladesh to chart a pathway towards stable development” and reaffirms Japan’s “unwavering dedication to collaborating closely with the interim government to address its development needs.”

Japan remains one of Bangladesh’s largest development partners, providing long-term financial support for critical infrastructure and energy projects.