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Govt Letters to World Bank

Posted by bangladesh

The government sent several letters to the World Bank ever since the international lender suspended funding of the Padma bridge project alleging corruption. We reproduce the communication Bangladesh had with the Bank between Oct 2011 and June 2012.


First Letter

Second Letter

Third Letter

Fourth Letter

 Collect from bdnews24.com

Floods worsen in the north

Posted by bangladesh

Monsoon rains and onrush of hill waters from the upstream have worsened flooding in the northern districts, as huge swathes of land freshly inundated land left tens of thousands of people stranded.

Until Friday evening, water level at Jamuna River continued to rise and was flowing 65 and 50 cm above danger level at Sariyakandi and Dhunat. Water level at Buriganga River rose by 10 cm more was flowing 38 cm above the danger mark. Jamuna River swelled 40 cm more at Bahadurabad and flowing 83 cm above the danger level.

According to the Flood Forecasting and Warning Centre's (FFWC) report released in the morning, the Brahmaputra-Jamuna, the Ganges-Padma and the Meghna river basins were swelling which may continue during the next 24-48 hours.

The rivers are flowing over danger level at 10 points while water level has risen at 73 points and decreased at 37 points, said the morning forecast.

Flood situation in Sylhet remained unchanged.

In Kurigram, the situation deteriorated on Friday due to the increased water flow from the upstream. The water level in the Dharala, Dudhkumar, Brahmaputra and others were on the rise.

By Friday, water level at Brahmaputra river increased by 10 cm flowing 38 cm above the danger level in the area, marooning 50,000 more people in 30 villages. Two hundred schools were closed down.

Communications between Roumary and Dhaka were snapped after water washed away a part of about 60-feet stretch of the DC Road at Golabari.

Deputy Commissioner (DC) Habibur Rahman said some 250,000 people were marooned as the flood water roiled into 53 unions of the districts Sadar, Chilmari, Phulbari, Roumari, Rajibpur, Ulipur and Nageswari upazilas.

The official said the district administration sought an allotment of 500 tonnes of rice and Tk 1 million in cash for the distressed people on an emergency basis.

"The NGOs have also been urged to stand by the distressed people, apart from the government."

Rangpur Divisional Commissioner Jashim Uddin Ahmed visited the flood-affected areas.

In Sylhet, flood situation remained unchanged in its three Upazilas while it improved in three others. Flood-affected areas in the Sylhet City have gone under knee-deep water. Over 3,00,000 people got stranded in their submerged houses in the district while communications on Sylhet-Goainghat and Sylhet-Kanaighat roads remained snapped for the last few days.

Sylhet City Corporation has opened up seven shelter centres where over 3,000 flood victims have taken shelter, said Mayor Badar Uddin Ahmad Kamran.

Water-purifying tablets are also being distributed in the flood-affected areas.

In Bogra, flood situation worsened as the Jamuna River continued to swell flowing 50 cm above the danger level at different points. Fresh 35 villages were flooded.

On Thursday, about 200 houses in 12 villages on the eastern side of the Bogra flood protection embankment have been submerged as water level at the Jamual River rose abnormally.

The district's Deputy Assistant Engineer of Water Development Board Shakhawat Hossain said river erosion took a dangerous turn at Shahrabari Ghat and in its adjacent areas.

In Gaibandha, water level at all the rivers continued to swell with Barhmaputra and Jamuna Rivers water flowing 72 cm above danger level while Ghaghat River was flowing 48 cm above danger level, flooding 115 fresh villages.

On Thursday, the swelling rivers had flooded 80 villages and rendered about 1,500 families homeless, according to relief officials. About 30,000 families are left stranded.

The district's Relief and Rehabilitation Officer Shah Alam said several areas dissolved into rivers.

In Jamalpur, water level at Jamuna River rose 40 CM above the danger level at Bahadurabad only on Friday, making a further 30,000 people stranded in their submerged houses.

In Cox's Bazar, over 10,00,000 people were marooned in seven Upazilas and 21 unions were identified as the worst hit. At least 37 people died in hillslide, wall collapse, drowning and lightning strikes.

As many as 20,000 people have taken shelter at different centres.

Deputy Commissioner of the district Joynul Bari said people of 52 unions are floating on water.

Water Development Board fears hard-point at the Sirajganj town protection embankment is at the risk of getting washed away any moment.

Earth-filled sacks and cement-concentrated blocks were used to reinforce the embankment.

However, flood situation has improved in Bandarban and motor vehicle operation resumed from Bandarban to Keranihat, Lama and Nakkhayangchharhi. Low-lying areas in the city are still water-logged.

Lama Municipality Inspector Tanfizur Rahman said even though water receded from Lama Bazar and its adjacent areas, low-lying areas are still under water.

Japan undecided

Posted by bangladesh

Japan has not yet decided whether to follow the suit after the World Bank's announcement to pull out of the Padma bridge project.

"We will consider our position on the project in consultation with the Japanese government," Kei Toyama, Senior Representative for JICA in Bangladesh, said on Sunday.

JICA, a co-financier of the US$ 2.9-billion largest infrastructure project of Bangladesh, was to give US$ 400 million.

"The situation is very much regrettable in spite of the efforts between the government of Bangladesh and the World Bank," he said in response to queries on the co-financier's position.

The World Bank, set to provide over a billion dollars for the project, announced its pull-out on Friday.

DGEN down halfway

Posted by bangladesh

The benchmark index of Dhaka Stock Exchange (DSE) lost over 150 points in the first two hours of trading on Monday as prices of most of the shares dropped.

The DSE general index lost 159 points to 4413 points at 12:30pm.

Shares and mutual funds worth Tk 1200 million changed hands until then with prices of only eight issues gaining, 225 declining and three remaining unchanged.

The DGEN had gained 272 points or 6.37 percent last week. It had drpped 320.55 points or 6.94 percent in the previous week.

Govt waits for WB to review decision

Posted by bangladesh

Terming World Bank's decision to cancel fund for the Padma bridge project 'unexpected' and 'disgraceful', Finance Minister AMA Muhith has urged the global lender to review its decision.

He came up with the government's official reaction to the decision at a press conference on Sunday, a day after WB announced its pullout from the project.

"What the World Bank has said in its statement (announcing its pullout decision) is 'unexpected' and 'disgraceful'," said Muhith.

"I think the World Bank should review its decision."

In a statement on Friday, the World Bank (WB) alleged that the government did not take any step despite being provided with 'credible evidence' to probe allegations of corruption in the bridge project.

Muhith said talks were going on with the Bank even though it had decided to withdraw from the project.

"The Executive Director of the project is holding talks with the World Bank. We will wait for their (WB) review of the decision," Muhith said.

"I will deliver a detailed speech on the issue in parliament tomorrow (on Monday)," he added.

The Finance Minister said he decided to address the press conference even before speaking in parliament since media had been running reports containing half-truths since the announcement of the Bank's decision.

"We made a combined effort to prevent any corruption in the project. So, the World Bank's claim is not acceptable and not correct," he said after presenting an account of the steps the government had initiated over the matter.

According to Muhith, the Bank's interest in funding the bridge project went on a slope after a Chinese Construction Company, which the WB was favouring, got disqualified during the selection of pre-qualified contractors following forgery by its Bengali representative.

"After that, World Bank approved selection of five pre-qualified contractors. But we think they (WB) started delaying the project...," Muhith said.

Later, in October last year, the Finance Minister suggested the global lender to separate the processes of investigation and project implementation, as implementation of the project had never been halted ever since the World Bank came up with the demand for investigation into seven specific corruption instances in the project. But it cut no ice with the global lending agency.

He said changes in the project leadership and the investigation Anti-Corruption Commission conducted into the charges also failed to satisfy the Bank. The government continued to hold talks, but the World Bank did not help out ACC with information.

"We did not intervene in these matters as they fall within the purview of the Commission," said Muhith.

A team of WB representatives was invited in June for holding talks with the Economic Affairs Division and ACC. Several letters were exchanged between the Bank and the government during the month over separating investigation from the process of project implementation, followed by another visit of another WB team at the end of the month.

During this visit, WB demanded the government to reach consensus on three points including signing of a Memorandum of Understanding with it and spelling out a Terms of Reference for involving a foreign adviser in ACC's activities.

Muhith said the government accepted even those conditions with some minor practical changes to strike a chord with WB, thus ruling out possibilities of corruption from the project.

"It is unexpected and mysterious why the World Bank has cancelled its contract and issued such a disgraceful note," he wondered.

The Finance Minister also provided the media letters exchanged between the government and WB saying they refrained from getting those published as the investigation was underway.

According to him, WB has so far funded 251 projects worth $16.8 billion since the country's Independence. Of the amount taken as loan, $14.5 billion are still unpaid.