The New Nation - Internet Edition

BSS, Dhaka

The budget for 2008-09 will have allocations for 43 projects and programmes to the tune of Taka 1,061.34 crore from the Japanese government's debt allocation fund.

A press release issued by the Japanese embassy here on Wednesday said the amount includes Taka 900 crore from the original debt cancellation. The remaining sum would come from the unused fund of the last year.

In March 2004, the Japan government and Bangladesh agreed on Japanese debt relief measures in the form of debt cancellation.

The agreement exempts Bangladesh from the repayment of the principal amount and payment of the interest for the loans agreements signed with Japan Bank for International Cooperation before 1988.

The two governments agreed the funds would be utilized for projects and programmes focused to achieve poverty reduction and promote socio-economic development.