Bangladesh

The World Bank announced on October 10 that it had put on hold a US$1.2bn loan - its biggest one-off credit line to any country - for the Padma Bridge until the Bangladeshi government investigates the alleged irregularities in the appointment of a consultant for the project. The loan represents a sizeable portion of the funds needed for the US$2.9bn project. We believe that the suspension would likely force the government to investigate the issue but highlight that the process would likely be slow given the country's lack of institutional quality and its unconvincing stance on these allegations.

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