Written by Roma Paul
DHAKA (Reuters) – The United States is committed to supporting inclusive economic growth, institution building and development in Bangladesh and will provide an additional $202 million in aid, a U.S. mission said on Sunday during a visit to Dhaka.
The six-member delegation, led by Treasury Under Secretary Neiman, is the first from the United States since the interim government led by Nobel Peace Prize laureate took office last month after Prime Minister Sheikh Hasina was ousted following deadly protests.
In a televised address last week, chief adviser Yunus said the government was seeking $5 billion in aid to help stabilize an economy that has been struggling since the war in Ukraine sent the cost of imports of fuel and food soaring. Last year, Bangladesh asked the International Monetary Fund for a $4.7 billion bailout.
The U.S. Agency for International Development said it will provide a $202 million grant to promote good governance, social, humanitarian and economic opportunities and resilience, in an agreement signed Sunday in Dhaka.
This follows an agreement reached in 2021 in which USAID pledged a total of $954 million between 2021 and 2026, of which $425 million has already been provided.
In a statement posted on its Facebook page (NASDAQ:) following the meeting with Yunus, the US embassy affirmed its readiness to support Bangladesh in its quest for a “more equitable and inclusive future.”
A statement from Yunus’ office said he had asked for US support to help rebuild Bangladesh, make fundamental reforms to the judiciary, police and financial institutions, and recover assets stolen by the former regime.
The visiting US delegation expressed Washington’s readiness to support these reform efforts and provide technical and financial assistance, according to the statement.
The talks also covered economic reforms, investment, labour issues, the Rohingya crisis and Yunus’s upcoming visit to New York to attend the UN General Assembly.
The American visitors also held discussions with key members of the interim government, including Foreign Affairs Advisor Mohammad Tawhid Hossain, Finance and Trade Advisor Salehuddin Ahmed, and Bangladesh Bank Governor Ahsan Manzoor.
Donald Lu, Assistant Secretary of State for South Asian Affairs, who arrived in Dhaka after concluding his tour of India, was part of the delegation.
The US embassy said it renewed its commitment to working with Bangladesh to expand economic opportunities, build institutional capacity, support human rights, and address climate risks.