Multiple projects have been taken up under each LOC. As per the rules, a project proposal is first sent to the Exim Bank, once they approve it, the proposal makes it to the final list and allocation is done accordingly, but Bangladesh made it to that list due to various complications. Many projects have been withdrawn from
Finally, Bangladesh backed out of the two projects in May this year. A project to strengthen the network of mobile operator Teletalk through solar power was called off on 9 May. EXIM Bank was to provide US$ 30 million.
Sources said the tender was called a year ago for the Teletalk project, but the estimated cost kept running up as Indian contractors asked for very high prices, which is why the project was abandoned. Besides, the officials concerned also did not comply with the condition of purchasing 75 per cent machinery from India.
AKM Habibur Rahman, Managing Director, Teletalk, told Prothom Aloo, “The contractor asked for a relatively high price for the machinery, which was much more than our estimated cost. Also, the conditions for purchasing machinery from India could not be complied with, for these reasons, the project was cancelled.’
A project to purchase machinery for the local government division’s waste management project was abandoned for the same reason. EXIM was to provide 25 million UDS for this project but the project was withdrawn from the LOC list on May 31 this year due to high prices of machinery.
