Bangladesh has asked the World Bank to review its decision to cancel a $1.2 billion loan for a major road and rail bridge, saying that a senior minister had resigned over the graft allegations.
The Washington-based lender cancelled financing for the Padma bridge, which would transform the country’s transport network, in June, explaining the government did not cooperate in probing “high-level” corruption in the project.
“Though no evidence has been found… former Communications Minister Syed Abul Hossain has resigned to help the probe, though he claimed his innocence,” Finance minister A.M.A Muhith said late Wednesday.
“We’re still hopeful that the World Bank will reconsider the matter,” he said.
Hossain was alleged to have sought a bribe from a Canadian firm bidding for part of the bridge project.
The cancellation embarrassed Prime Minister Sheikh Hasina as the 6.2-kilometre (3.8-mile) bridge was one of her key election pledges.
The World Bank recently said it was “technically possible” to reinstate the loan, but only if its demands were fully met to investigate and remove tainted officials.
