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City Bank signs escrow account agreement

Staff Correspondent 
22 Sep 2021 01:12:20 | Update: 22 Sep 2021 01:12:20
City Bank signs escrow account agreement
ABM Amin Ullah Nuri, Chairman of RAJUK, Sheikh Mohammad Maroof, Additional Managing Director of City Bank, and Dayem Khandker, Managing Director of United Delcot sign the agreement on behalf of respective organisations on Tuesday – Courtesy Photo

City Bank has signed an escrow account agreement with RAJUK and United Delcot for Purbachal Water Supply PPP Project.

The signing ceremony was held at RAJUK site office at Purbachal in presence of Sharif Ahmed, State Minister for Housing and Public Works, said a press release on Tuesday.

This is a Public Private Partnership (PPP) project and first of its kind in Bangladesh in the public utility sector.

Through this PPP project, total 320km water distribution pipeline network will be constructed at 6,227 acres of Purbachal area to meet 340 million litres per day need of water supply to the residences of this newly developed locality, read the release.

City Bank’s dedicated PPP team is working for the project on its long-term financing requirement and through this agreement, City Bank is going to start working as an escrow bank between RAJUK and United Delcot.

Escrow is a legal concept describing a financial instrument whereby an asset or escrow money is held by a third party on behalf of two other parties that are in the process of completing a transaction. Escrow accounts might include escrow fees managed by agents who hold the funds or assets until receiving appropriate instructions or until the fulfillment of predetermined contractual obligations.  

Shahid Ullah Khandaker, secretary to the Ministry of Housing and Public Works, Sultana Afroz, secretary and CEO of Public Private Partnership Authority, and Taqsem A Khan, Managing Director of Dhaka WASA were present as special guests at the signing ceremony.