World Bank okays USD 185m in financing for Bangladesh renewables

The World Bank on Friday approved USD 185 million (EUR 163.1m) in financing to support the addition of 310 MW of renewable power generation capacity in Bangladesh.

The package for the Bangladesh Scaling-up Renewable Energy Project includes a loan of USD 156 million from the International Development Association (IDA) with a term of 30 years, including a five-year grace period, and an interest rate of 1.25% with a service charge of 0.75%. In addition to that, a USD-26.38-million loan and a USD-2.87-million grant will be extended from the Strategic Climate Fund (SCF) of the World Bank’s Climate Investment Funds (CIFs).

Details on the planned use of the financing are available in the table, as described in the project appraisal document in February.

The REFF will be hosted and managed by the Infrastructure Development Company Ltd (IDCOL) and will provide financing for utility-scale renewable energy projects and rooftop solar projects. The facility can support a total of 260 MW of capacity.

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