China Eximbank provides RMB 860 million government concessional loan for Phase II of Info-Sarker Project (Linked to Record ID#38335)

Project narrative

On May 31, 2013, China Eximbank and the Government of Bangladesh signed an RMB 860,000,000 government concessional loan (GCL) agreement for the Phase II of the Info-Sarker Project. The GCL carried the following borrowing terms: a 2% interest rate, a 20-year maturity, a 5-year grace period, and a 0.2% commitment fee (service charge). According to the Government of Bangladesh’s Economic Relations Division (ERD), the GCL had achieved a disbursement rate of 40.3% (RMB 347,242,000 out of RMB 860,000,000) as of June 30, 2014, 89.2% (RMB 767,325,000 out of RMB 860,000,000) as of June 30, 2017 and 100% (RMB 860,300,000 out of RMB 860,000,000) as of June 30, 2018. The borrower had made repayments to the lender worth RMB 57,333,000 as of June 30, 2019, RMB 114,667,000 as of June 30, 2020, and RMB 171,000,000 as of June 30, 2021. Phase II of the Info-Sarker Project, which is also known as the Development of National ICT Infra-Network for Bangladesh Government Phase II Project, sought to consolidate and link all Bangladeshi government offices — at both district and sub-district levels — under a single network. It was an extension of the BanglaGovNet project implemented by the Bangladesh Computer Council whereby all ministries/divisions, major departments, deputy commissioner’s offices, and upazillas were to be connected under an ICT Backbone Network. Phase II of the project involved significant improvements in the Bangladesh Government’s efficiency, transparency, effectiveness, and quality of services through the expansion of the network and other facilities established in Phase I of the BanglaGovNet project. China Machinery and Equipment Engineering Co., Ltd. and Huawei were the contractors responsible for project implementation. The project was ultimately completed on June 30, 2016. It brought 18,130 government offices at the district and sub-district levels under an ICT network, paving the way for the prime minister's office and other ministries and departments in Dhaka to establish direct communications around the country. 800 video conferencing systems were also installed at different offices, including the ministries, government departments, and training centers. Additionally, a fiber optic cable network was extended to 424 Upazilas (Sub-Districts); a disaster recovery center was established; a training center for developing ICT capabilities was established at the Bangladesh Computer Council (BCC) was established; and a Wi-Fi Network was established in Khamarbari.