World Bank’s Miga to help Bangladesh raise investment in infrastructure

The World Bank Group's Multilateral Investment Guarantee Agency (Miga) has pledged to increase investment for Bangladesh's infrastructure sector, particularly for the development of road, rail, and water resources.

Miga Vice President Junaid Kamal Ahmad said on Monday that the agency will help in investment through partnership with Bangladesh and will act as a guarantor for investments in the country's infrastructure sector.

"Besides, Miga will help to bring in FDI to the country's economic zones," he told reporters after meeting Planning Minister MA Mannan in the capital's Sher-e-Bangla Nagar.

Junaid Kamal said 10% of investment in the power sector of Bangladesh came through Miga.

"Similarly, the private sector does not have to look up to the government to get big loans for the infrastructure sector. In such cases, Miga will help as a guarantor," said Kamal, who is on his first visit to Bangladesh since he was appointed vice president of Miga on 16 April this year.

Miga promotes foreign direct investments into developing countries by providing political risk insurance (guarantees) to lenders and investors.

"Bangladesh's economy is pacing ahead faster than other South Asian countries. Now is the time when more investments are needed in the country and Miga will work on securing loans on easy terms," he assured.

Planning minister MA Mannan said Miga would bring loans to Bangladesh at its own risk. They are interested in becoming a guarantor of investment in the private sector, water development, railways, electricity, and economic zones. This will increase foreign investment in the private sector.

"Many western lenders have little idea about Bangladesh. Miga will inform them about investment prospects in the country," the minister said.