Commerce Reporter
The Asian Development Bank (ADB) will provide a $100 million loan to Palli Karma-Sahayak Foundation (PKSF) to expand access to safe, affordable and disaster-resilient housing for around 40,000 low and middle-income families in Bangladesh.
Under the Inclusive Affordable Housing Finance Project, special emphasis will be placed on strengthening housing security for women and people living in disaster-prone areas. The project will be implemented till 2031.
To this end, a loan agreement between the Government of Bangladesh and ADB and a project agreement between PKSF and ADB were signed yesterday at a hotel in Dhaka.
Md Shahriar Kader Siddiky, Secretary, Economic Relations Division, Ministry of Finance, signed the Loan Agreement on behalf of the Government of Bangladesh, while Dr AKM Nuruzzaman, Senior General Manager, PKSF, signed the Project Agreement on behalf of PKSF.
Qingfeng Zhang, Country Director, Bangladesh Resident Mission, ADB, signed both agreements on behalf of ADB, said a PKSF press release today.
The loan proceeds will finance the construction of new houses as well as the repair and upgrading of existing houses. The project will particularly expand housing finance opportunities for low- and middle-income households who have limited access to housing loans through the formal banking system.
A key priority of the project will be to promote housing that can withstand floods, cyclones, extreme heat and other natural hazards and climate-related risks. Disaster and climate vulnerabilities will be integrated into housing design, construction, and safety measures, helping families not only secure safer homes but also reduce the risks to their lives and assets during disasters.
By bringing affordable housing finance and climate resilience together, the project is expected to strengthen the long-term resilience of vulnerable households while expanding their access to safer and more sustainable housing.
