The Bangladesh government plans to issue bonds worth BDT 5000 crore to address part of the Bangladesh Power Development Board’s (BPDB) unpaid dues, which total BDT 42,000 crore. These dues include BDT 7,000 crore owed to independent power producers (IPPs), BDT 17,000 crore for gas bills, and BDT 10,000 crore to public power plants, with major creditors like Adani and Chevron collectively owed BDT 8,000 crore. The initiative aims to provide immediate financial relief, particularly to IPPs, ensuring operational continuity and stabilizing the power sector. By easing financial pressure on key players, the government seeks to restore confidence among creditors and maintain a steady electricity supply. However, while the bond issuance offers short-term relief, it underscores the need for comprehensive reforms in BPDB’s financial and operational structure to address systemic challenges and prevent future accumulation of debt. This move reflects a strategic effort to balance immediate liquidity needs with long-term sectoral stability.
Source: Business Inspection BD
