World Bank To Release $130 Million To Bangladesh

The World bank has decided to release a $130 million loan to the South Asian nation of Bangladesh in order to help it cope with rising food prices, which has pushed more than 4 million people into poverty.

Bangladesh was hit by a food crisis after last year's floods and a cyclone, which together damaged nearly 3 million MT of food grains, causing rice prices to double. The government has allocated $800 million for a food-related scheme for the year to June 2009.

Nearly half of Bangladesh's more than 140 million people live on less than $1 a day, spending 70 % of their total income on food.