🇧🇩 Civilian/Military Nuclear Program in Bangladesh

[Saif]

Loktantra (Democracy) will return to India, I am always an optimist about that. Modi succeeded in duping the Indians - that is true.

Dhruv Rathee is an Indian I like.

Congress is also an anti Muslim/anti Bangladesh entity in India. As for Bangladesh India relations, Congress has harmed Bangladesh more than BJP. The Farakka barrage was created by Congress, South Talpatti was forcefully occupied by Congress, Shanti Bahini was created by Congress, Border killings were initiated by Congress, Gajoldoba and Tipaimukh barrages were created by Congress. I am sure they will try to jeopardize our civilian nuclear program if they come to power. That's why I have no hope for relation between Bangladesh and India.

 

[Bilal9]

New Foreign Relations Adviser and Russian Envoy complete meeting, and adviser says that Rooppur Nuclear Power Station will be completed on time as planned - change of administration to have minimal effect.

 

[Saif]

রূপপুরে ৫০০ কোটি ডলার আত্মসাত শেখ হাসিনার: গ্লোবাল ডিফেন্স
Sheikh Hasina embezzled $5 billion from Rooppur Project.

 

[Saif]

Repayment of Russian loans to be delayed, Chinese credit on hold

Officials said the ERD is working on amending the previous loan agreements and a draft has been finalised.

en.prothomalo.com

Repayment of Russian loans to be delayed, Chinese credit on hold
Jahangir ShahDhaka
Updated: 24 Aug 2024, 14: 51

The Rooppur Nuclear Power Plant area on 4 October 2023Hasan Mahmud

The government has taken fresh measures to ease the pressure of foreign debt payments. Payments of Russian loans on the Rooppur nuclear power plant project are to be deferred for two years, and Russia has already responded positively to the proposal from Bangladesh. If payment of the Russian debt instalments is deferred for two years, the government can save about USD 800 million now, according to sources at the Economic Relations Division (ERD).

Officials said the ERD is working on amending the previous loan agreements and a draft has been finalised, followed by sending it to the Ministry of Science and Technology and other ministries concerned.

In the meantime, the government has decided to back off from the plan to take Chinese loans equivalent to USD 5 billion amid the changed political situation. These loans were supposed to be received in Chinese currency yuan.

According to the ERD sources, the government wants to defer the payment of the instalment of the loans on the Rooppur nuclear power plant project on the ground that the country's economy is still under pressure due to Covid-19 and the Ukraine situation. On the other hand, a decision has been taken to run proper scrutiny before taking any bilateral loans from China due to the changed political situation. Officials said ERD received such instructions from the policymakers.

Salim Raihan, executive director of South Asian Network on Economic Modeling (SANEM), said there is still pressure on foreign debt payment, and it is a good initiative to defer the payment of the debt capital of the Rooppur nuclear power plant construction. Like the Rooppur project, negotiations should also start to defer payment of debt capital on such other projects, and for this, it is necessary to form a high-powered committee.​

 

[Saif]

Rooppur power plant construction may be delayed: Russian ambassador

Russian ambassador to Bangladesh Alexander Manatytskiy has said that under the present circumstances, there may be some delay in the construction process of the Rooppur Nuclear Power Plant. He said this while speaking to journalists after paying a courtesy call on the foreign affairs advisor Md...

en.prothomalo.com

Rooppur power plant construction may be delayed: Russian ambassador
Diplomatic Correspondent Dhaka
Published: 15 Aug 2024, 18: 35

Russian ambassador to Bangladesh Alexander Manatytskiy pays a courtesy call on foreign affairs advisor Md Touhid Hossain PID

Russian ambassador to Bangladesh Alexander Manatytskiy has said that under the present circumstances, there may be some delay in the construction process of the Rooppur Nuclear Power Plant.

He said this while speaking to journalists after paying a courtesy call on the foreign affairs advisor Md Touhid Hossain today, Thursday."

The Russian ambassador said, "I can understand that there may be somewhat of a delay in the construction process of the Rooppur Nuclear Power Plan, given the present circumstances. However, the delay will not be too long."

The Russian foreign minister in December last year had remarked that the US may create an "Arab Spring-like" situation in Bangladesh. Is the recent student uprising that "Bangla Spring"?

In reply to this question that was posed to him, Russian ambassador Alexander Manatytskiy replied, "I have no such information. If you have such information, you may share it with us.​

 

[Saif]

উৎপাদনে যেতে প্রস্তুত রুপপুর বিদ্যুৎ কেন্দ্র |

 

[Saif]

Dhaka faces a bit of trouble over Russian loan repayments

As Russian banks faced sanctions over the Russia-Ukraine war, they now want to take the interest money through the Chinese bank.

en.prothomalo.com

Dhaka faces a bit of trouble over Russian loan repayments
Jahangir Shah
Dhaka
Published: 23 Sep 2024, 12: 45

Rooppur Nuclear Power Plant File photo

Trouble is brewing over the repayment of Russia’s loans for the Rooppur Nuclear Power Plant as Dhaka proposed an extension on repayment of capital, but Moscow is very reluctant on this matter. Rather they want payment of loan interest to be made through Chinese banks, which Dhaka is yet to give a green signal. As a result, the government faces a dilemma.

In the meantime, the interim government moved to review the loan agreements of various big projects including the Rooppur Nuclear Power Plant project. Thus fear looms large over possible strains in the bilateral relations between Dhaka and Moscow centering the Russian loan, according to sources concerned of the finance ministry’s Economic Relations Division.

Bangladesh started building the Rooppur Nuclear Power Plant at a cost of about Tk 1.14 trillion in 2016 and the project is set to be finished on 31 December 2025. Now the deadline seems to be delayed by two more years. Moscow is lending USD 12.65 billion for this project.

Selim Raihan, executive director of the South Asian Network on Economic Modeling (SANEM), said, “The matter of loan repayment should be discussed with Russia since there has already been a big investment. So, it is necessary to negotiate logically instead of getting emotional. If Russia can be convinced of our situation the matter will be solved soon.”

Pressures persist on the economy due to the coronavirus pandemic and the Russia-Ukraine war. That is why the operation of the Russian contractor firm for the Rooppur Nuclear Power Plant slowed down. The interim government proposed that Russia defers the repayment of capital for two years, and Russia also agreed primarily. So, the ERD prepared a draft loan agreement with some changes and gave opinions to the offices concerned including project implementing agencies, science and technology ministry, but there has been no progress since then.

On the other hand, Russia made another proposal to Bangladesh in August, asking that the money held in the special account of Bangladesh Bank be sent to Russia through a Chinese bank. Dhaka is yet to respond to the proposal.

To date, an overdue of USD 630 million has been deposited in a special account of Bangladesh Bank. As Russian banks faced sanctions over the Russia-Ukraine war, they wanted to take the interest money through the Chinese bank.

According to ERD sources, the 10-year grace period of Russian loan repayment ends on 15 March 2027, and repayment of capital starts subsequently. Dhaka requested Moscow to fix the deadline for the grace period at 15 March 2019, but no meeting was fixed over the past month.

Russian ambassador to Bangladesh Aleksandr Mantytsky held a meeting with the finance and commerce adviser to the interim government Salehuddin Ahmed on 25 August. ERD sources said issues related to start repayment of instalments of the Russian loans and payment through which currency were discussed at the meeting. Russia wants to take the interest money soon.

USD 390 million per instalment

Bangladesh borrowed USD 12.65 billion from the Russia EXIM Bank for the Rooppur Nuclear Power Plant project. A bilateral agreement was signed on this matter in 2016, which was followed by the release of the funds in 2017. Payment of interest has already begun, and Dhaka is supposed to pay USD 110 million in two instalments annually. Since Russia faces international sanctions, Bangladesh cannot send money through the country’s EXIM bank. So, Dhaka is depositing the funds in a special account of Bangladesh Bank.

The 10-year grace period of the loan is set to end on 15 March and Bangladesh will have to start paying USD 380 million in two instalments per year plus the interest of USD 110. However, the amount of capital and interest payment may vary slightly from time to time.

A senior official of the Bangladesh Atomic Energy Commission told Prothom Alo that work on the project has been hampered due to Covid-19 and the Russia-Ukraine war. That is why both countries have agreed to defer the repayment of capital, and for this, both countries will have to sign a protocol.

As of July, 69 per cent of the Rooppur Nuclear Power Plant project was completed.

However, there has been apparently a shift in priority over foreign loans since the interim government took office. They prefer borrowing from multinational lending agencies including World Bank, Asian Development Bank (ADB), and Islamic Development Bank (IsDB), while the previous Awami League government was more interested in taking loans from bilateral sources like China, Russia and India.

This report appeared in the print and online editions of Prothom Alo and has been rewritten in English by Hasanul Banna.​

 

[Saif]

Repayment of Russian loan hits snags

The fallout from economic downturn, coupled with runaway corruption was bound to affect the balance of payments of the country. Today, policymakers are indeed in a fix about how to manage the repayment of principal-plus-interest on loans taken from international sources for various projects. None i

thefinancialexpress.com.bd

Repayment of Russian loan hits snags
Syed Mansur Hashim
Published :
Sep 27, 2024 22:00
Updated :
Sep 27, 2024 22:00
Share this news

The fallout from economic downturn, coupled with runaway corruption was bound to affect the balance of payments of the country. Today, policymakers are indeed in a fix about how to manage the repayment of principal-plus-interest on loans taken from international sources for various projects. None is more glaring than the one for the country's first nuclear power project viz. Rooppur Nuclear Power Plant (RNPP). The recent turmoil that transformed the political-cum-economic outlook, has put Dhaka on a collision course with Moscow, especially over what to do about the $11 billion plus Russian loan that has made RNPP possible. This remains a G2G (government-to-government) deal and also the largest foreign financed infrastructure project of the country under any administration. There is no contention about the fact that repayment will have to be made.

It is interesting to note that very recently, a study has been published by an expatriate Bangladeshi expert where a comparative analysis has been made about the cost of RNPP and similar projects in India and Belarus. While the nuclear reactors are of the same generation and design, it is not as simple as to make a statement on graft alleged to have taken place. It has to be proven by taking into account all the variables that distinguish RNPP from the Indian and Belarus projects. That said, it is in Bangladesh's interest to complete this project and get it operational at the earliest. The country is in the midst of a major energy crunch. It is also a fact that the LNG (liquefied natural gas) experiment, the cross-border trade in electricity, the power produced and sold by independent power producers all have big questions hanging over them in relation to graft. Hence, it would be a pity to mothball RNPP on the suspicion that there was a multi-billion dollar payoff by one party to another.

Russia has been pressing Bangladesh to make repayment of $650 million on the loan extended to Dhaka. Given today's economic situation, Dhaka has asked for an extension on repayment of capital, a request that has not been welcomed by Moscow. Why not? Why this direct rebuttal? It is not as though Bangladesh is bankrupt and is refusing to repay. It certainly is interesting that Russia is demanding that the payment on loan interest be made through Chinese banks (in Yuan), but the fact is that this is easier said than done. Russia is at liberty to ignore the Western-backed sanctions scheme against it, but can Bangladesh say the same?

The change of the political guard in Dhaka has also shifted its focus on the definition of domestic development. The preceding five-year plan has been put on hold and the economy is no longer infrastructure development-driven. Rather, the focus is on soft loans and grants for human resources development and other interest areas. Regarding the Russian loan (including interest) payment, Bangladesh wants a renegotiation on the terms of payment and this is not unheard of globally. Restructuring of international loans happens all the time.

Insistence on the "terms of payment" ignores the problems associated with the banning of Russia from the SWIFT banking system. Yes, there are alternative means of payment that includes the Chinese-led initiative CIPS, but that has its own problems. Bangladesh isn't a full member of the BRICS and so these problems are not going away anytime soon. There is hardly any point in getting emotional on such cold-hearted matters.

Moscow has to understand the economic reality Bangladesh faces on multiple fronts. The RNPP remains the single most important power infrastructure of the country. Bangladesh requires reliable power that is affordable. Regardless of how Moscow sees the situation, there has to be a renegotiation on the terms of payment and possibly this will involve deferred payment unless an acceptable, alternative legal means to transfer the repayments can be found under international law. There is no other alternative for Bangladesh. It cannot evoke the ire of the West to please the East. On its part, Russia should think about preserving the cordial relations it has with Bangladesh.

Everything must be brought to the negotiating table. All contentious issues have to be hammered out through discussion - not acrimony. It does not help either nation to be at loggerheads over RNPP. The RNPP is a long-term proposition to provide reliable and "cheap" power. These must be worked out by both parties and come to an agreement over the loan (and interest) repayments and also the price of power generated because of the simple fact that massive financial outlays have been made and years spent to build this project. This is simply too big to fail. Russia should get off its high horse and come to the discussion table because Bangladesh believes in "friendship to all, malice to none".​