By Ruma Paul
DHAKA (Reuters) - The United States is committed to supporting Bangladesh's inclusive economic growth, institution building and development and will provide an additional $202 million of aid, a U.S. delegation said during a visit to Dhaka on Sunday.
The six-member delegation, led by Deputy Under Secretary of the Treasury Department Brent Neiman, is the first from the U.S. since the interim government headed by Nobel laureate took office last month following the ousting of Prime Minister Sheikh Hasina after deadly protests.
In a televised address last week, Chief Adviser Yunus said the government was appealing for $5 billion in aid to help stabilise an economy that has been struggling since the Ukraine war sharply increased the cost of fuel and food imports. Bangladesh last year sought a $4.7 billion bailout from the International Monetary Fund.
The United States Agency for International Development (USAID) said it would provide a $202 million grant to promote good governance, social, human and economic opportunity and resilience, in a deal signed on Sunday in Dhaka.
It follows a 2021 agreement where USAID pledged a total of $954 million between 2021 and 2026, of which $425 million had already been provided.
In a statement released on its Facebook (NASDAQ:META) page following the meeting with Yunus, the U.S. embassy emphasised its readiness to support Bangladesh in its pursuit of a more "equitable and inclusive future".
Yunus sought U.S. support to help rebuild Bangladesh, carry out essential reforms to the judiciary, police and financial institutions and to recover assets stolen by the previous regime, according to a statement from his office.
The visiting U.S. delegation expressed Washington's willingness to support these reform efforts, offering both technical and financial assistance, the statement said.
The talks also covered economic reforms, investment, labour issues, the Rohingya crisis and Yunus's upcoming visit to New York for the U.N. General Assembly.
The U.S. visitors also held discussions with key members of the interim government, including Foreign Affairs Adviser Mohammad Touhid Hossain, Finance and Commerce Adviser Salehuddin Ahmed and Bangladesh Bank Governor Ahsan Mansur.
Donald Lu, assistant secretary for South Asia, who arrived in Dhaka after wrapping up his India tour, was part of the delegation.
The U.S. embassy said it reaffirmed its commitment to collaborating with Bangladesh on expanding economic opportunities, building institutional capacity, upholding human rights and addressing climate risks.