Prime Minister Tarique Rahman has appreciated a 50-billion-yen ($317 million) Japanese loan to support Bangladesh’s economic resilience and ensure a stable energy supply, according to a joint statement issued after the Bangladesh-Japan summit in Tokyo today.
Titled the "Emergency Support Loan for Enhancing Economic Resilience and Stable Energy Supply," the loan is the first yen-loan project under Japan’s Partnership on Wide Energy and Resources Resilience Asia (POWERR Asia) initiative.
Acknowledging the increasing volatility of global energy markets and the surge in energy prices, Tarique Rahman and Japanese Prime Minister Sanae Takaichi reiterated the importance of international cooperation to strengthen oil stockpiles and improve coordination between energy-producing and energy-consuming countries, including through POWERR Asia.
Prime Minister Rahman expressed appreciation for the 50 billion yen "Emergency Support Loan for Enhancing Economic Resilience and Stable Energy Supply," which marks the first yen loan project under POWERR Asia. According to the joint statement, Prime Minister Takaichi stated that Japan will continue to support energy infrastructure in order to help bridge the gap between energy supply and demand in Bangladesh.
Energy security is also a key component of Japan’s Bay of Bengal Industrial Growth Belt (BIG-B) initiative. Following the summit, the two countries announced a new framework titled “BIG-B for Shared Prosperity”.
Under the framework, the two leaders agreed to work together to develop the Matarbari-Maheshkhali area into a major hub for logistics, energy and industry, centred on the Matarbari Deep Sea Port, according to the statement.
Tarique arrived in Tokyo on Monday for a four-day official visit following an invitation from the Japanese Prime Minister. Upon his arrival at the airport, he was received by Yasutaka Nakasone, the Japanese Minister of State for Foreign Affairs.
The two prime ministers held bilateral talks in Tokyo earlier today.
The Bangladesh delegation includes Finance and Planning Minister Amir Khosru Mahmud Chowdhury, Civil Aviation and Tourism Minister M Rashiduzzaman Millat, Prime Minister’s Adviser on Finance and Planning Rashed Al Mahmud Titumir, State Minister for Foreign Affairs-1 Humayun Kobir, and State Minister for Power, Energy and Mineral Resources Anindya Islam Amit.
The delegation also comprises Prime Minister’s Adviser on Posts, Telecommunications and Information Technology and Science and Technology Rehan Asif Asad, and Prime Minister’s Special Assistant for Overseas Employment in the Asia-Pacific region Md Shakirul Islam Khan, among others.
Why it matters
The loan signals deepening Bangladesh-Japan cooperation on energy security amid global market volatility.