The Asian Development Bank (ADB) is set to provide Bangladesh with $338 million in support of domestic vaccine production, aiming to safeguard against a range of diseases. This announcement was made during a meeting between ADB Country Director Edimon Ginting and Planning Minister MA Mannan in Dhaka.
The initiative is part of the Bangladeshi government’s effort to develop a draft project to manufacture vaccines locally, thereby enhancing protection against diseases like COVID-19 and dengue, as well as preparing for potential future health challenges. The ADB’s funding offer consists of a $338 million loan, with half of it carrying a low-interest rate and the remaining portion subject to regular interest.
The ADB is urging the government to expedite the approval of this important project. The Planning Minister assured that diligent efforts would be made to secure swift approval. The ADB Country Director shared that the past fiscal year saw substantial progress in terms of the working environment, disbursement, project implementation, and loan approval in Bangladesh.
The project’s total cost is approximately $351 million. It aims to reduce Bangladesh’s dependence on vaccine imports and bolster domestic production capabilities. The ADB Country Director highlighted that beyond the period of Least Developed Country (LDC) status, Bangladesh may face challenges in procuring vaccines at lower rates and instead may need to purchase them at market prices. To enhance the country’s capacity for vaccine production, this project has been initiated with the aim of swift approval.
Moreover, the ADB has committed $3.5 billion in financing to Bangladesh for the current fiscal year, with approximately $2 billion being concessional and the remaining $1.5 billion being regular funding.
