Due to a dollar crisis, Bangladesh is struggling with overdue fuel oil import bills, raising concerns about maintaining normal fuel supply. The International Islamic Trade Finance Corporation (ITFC) has demanded payment of around $150 million in overdue dues, threatening to halt new loans if not settled. As of now, approximately $8 million has been paid, with plans to pay $2.5 million daily after an initial $77.1 million was settled. The Bangladesh Petroleum Corporation (BPC) and Petrobangla face difficulties in securing dollars for ITFC repayments due to the crisis, affecting their ability to import fuel. The annual fuel demand in Bangladesh is about 6.5 million tons, with 90% imported. ITFC loans, primarily for crude oil from Saudi Arabia and the UAE, are typically repaid within six months, but overdue payments incur additional interest and complicate future loan access. Additionally, the government debt in the power and energy sector has risen to $220 million, prompting requests for increased budget support from international partners to address the financial strain.
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