.svg)
Prime Bank has successfully formalised a US$30 million credit facility with the OPEC Fund for International Development, establishing a vital financial buffer for Bangladesh’s private sector during a period of complex industrial adjustment. Structured as a one-year term loan with an option to extend for three years, the facility is being channelled through the bank’s Offshore Banking Unit. This capital is earmarked specifically to bolster trade finance for small and medium-sized enterprises (SMEs) and the agricultural sector, ensuring that domestic producers can navigate the high costs associated with global supply chain disruptions.
The liquidity arrives as the manufacturing sector faces significant operational hurdles. According to reports monitored by the Daily Dazzling Dawn, the domestic fertiliser industry has been under immense pressure, with nearly all state-run urea factories—except for the Ghorashal-Polash plant—remaining suspended in late April due to critical shortages of natural gas. This deficit is largely attributed to the diversion of gas supplies to power generation and the rising cost of Liquefied Natural Gas (LNG). Recent geopolitical tensions in the Middle East have further complicated the supply of ammonia and nitrogen, pushing global urea prices to record highs and threatening the stability of the agricultural supply chain.
The President of the OPEC Fund, Abdulhamid Alkhalifa, noted that the facility is designed to safeguard the livelihoods of those most vulnerable to credit contractions. He told journalists that the partnership with Prime Bank aims to unlock dormant opportunities within the private sector and enhance the resilience of businesses currently struggling to access traditional trade finance. By providing a steady stream of foreign currency, the loan allows businesses to manage the procurement of essential raw materials even as energy costs remain volatile.
Acting CEO Faisal Rahman, who assumed his role on 1 April 2026, emphasised that the agreement comes at a defining moment for the bank’s clients. He told journalists that the facility will meaningfully enhance the bank's capacity to support the trade financing needs of businesses navigating an increasingly uncertain global landscape. As the government prepares to restart idle fertiliser plants by May 1 through increased gas allocations, the availability of trade credit through this OPEC facility is expected to play a central role in sustaining industrial momentum.
Looking forward, the focus remains on the implementation of structural reforms to stabilise the macroeconomy. While the Bangladesh Bank has noted that foreign exchange reserves are showing signs of improvement due to robust remittances, the industrial sector’s reliance on multilateral support remains high. The next phase of economic management will likely involve a delicate balance between meeting energy demands and maintaining the credit lines necessary to prevent further production halts in the nation's key manufacturing hubs.
.jpg)
