IITFC keen to invest in LNG, LPG plants

International Islamic Trade and Finance Corporation (IITFC) wants to invest in country's energy sector, especially in LNG and LPG.
IITFC, an extended wing of the IITFC, has been providing support to Bangladesh since 1979 for purchasing petroleum fuels. Recently it took up a plan to shift its allocation to other areas in energy sector as it observed that its business had been shrinking day by day as price of petroleum had fallen, according to the Energy Ministry.
IITFC Chief Executive Officer (CEO) Eng. Hani Salom Sonbol made this proposal to the State Minister for Power, Energy and Resources Nasrul Hamid at his Secretariat office on Sunday.
 "It has submitted a proposal to the Energy Ministry where they proposed to prepare a framework for funding the country's major power and energy infrastructure," a senior official told the Daily Observer on Sunday.
The proposal of the IITFC came up when a high level delegation met with State Minister for Power and Energy.
According to the Energy Ministry, IITFC usually used to provide around $US 1000 million for fuel purchase but the funding has remarkably reduced over the last three to four years due to drastic fall in oil prices in the international market.
"This year we negotiated to procure US$700 million loan from IITFC which was over $1000 million in previous years on average," the official added.
So, the IITFC has expressed interest to divert it's loan into another potential sector through preparation of a framework, according to the official.
The IITFC has now interested in financing in LNG projects here, he said, adding, it has already funded different projects sponsored by Bangladesh Petroleum Corporation (BPC).
However, State Minister for Power and Energy Nasrul Hmaid said the GDP size is growing here. So the IITFC has an opportunity to invest in coal power projects, LNG terminal, refinery and LPG.