(Adds details from govt official, background, changes source)
By Ruma Paul
DHAKA, April 17 (Reuters) - Bangladesh and Russia have
agreed to use yuan to settle payment for a nuclear plant Moscow
is building in the South Asian country, a Bangladesh government
official said on Monday.
Bangladesh is constructing the first of two nuclear power
plants in collaboration with Russia's state-owned atomic company
Rosatom in a $12.65 billion project, 90% of which is financed
through a Russian loan repayable within 28 years, with a 10-year
grace period.
"Russia wanted us to make payment in rouble but that's not
possible for us. So we have agreed to pay in Chinese yuan,"
Uttam Kumar Karmaker, a senior official in the Bangladesh
Economic Relations Division, told Reuters.
The project will help curb frequent power cuts which
analysts expect to
worsen this year
as Bangladesh's ability to import fuels has taken a hit
following a rapid decline in the value of its currency and
foreign exchange reserves.
(Reporting by Ruma Paul; Writing by Shivam Patel; Editing by
Alex Richardson and Ed Osmond)
