SBL provides Biman US$ 66.5m loan for PDP of two aircraft

A Monitor Report 16 Apr, 2017  |    -      +
Dhaka : Sonali Bank Limited (SBL), the largest public sector commercial bank, has provided Biman Bangladesh Airlines Limited a loan of US$ 66.5 million, to make pre-deli-very payment (PDP) for two more new aircraft.

Sonali Bank has arranged the loan for the national flag carrier by taking deposit from the central bank's foreign exchange reserve.

Bangladesh Bank (BB), the country's central bank, has already released the fund to Sonali Bank UK Limited as short-term investment. BB has obtained necessary guarantee from the government in this connection.

The Sonali Bank headquarters in has collected the deposit from the central bank at LIBOR (London Inter Bank Offered Rate) plus 1.0 per cent interest.

Later, the SoCB lent the money at an annual interest of LIBOR plus 2.0 per cent, according to a senior official of Sonali Bank Limited.

The national flag carrier has paid US$54 million from its latest credit as an installment of a US$159 million credit with the Sonali Bank UK Limited and the rest US$12.50 million to Boeing as maintenance charge.

The central bank earlier provided US$159 million as investment to the Sonali Bank UK Limited for making PDP for the two more Boeing aircraft.

In 2008, the Biman had signed an agreement with Boeing for purchasing 10 aircraft_ four B777-300ERs, two B737-800s and four B787s. The first six have already been delivered Biman.

Of the four remaining aircraft-all B787 Dreamliner_ two aircraft are scheduled to be delivered by 2018 and the other two by 2019.

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