The government yesterday struck a deal with China Major Bridge Engineering Company Ltd for the construction of the main part of Padma bridge.  

The Chinese company has submitted a performance guarantee of 10.17 percent of the contract value worth Tk 12,133 crore with the United Commercial Bank Ltd.    

Lieu Ziming, chairman of the Chinese company, and Shafiqul Islam, project director of the bridge project, penned the agreement on behalf of their respective sides at Ruposhi Bangla Hotel in Dhaka.

According to the agreement, the Chinese company will have to pay Tk 1,820 crore to Bangladesh by this June as advance payment, said a statement of the communications ministry. The contractor would submit a revised construction schedule. "After getting the schedule, the notice to proceed will be given," the statement said, adding that it would then begin the work of mobilising the construction equipment and material.    

The Chinese contractor will have to complete the construction work by 2018.

Earlier, Finance Minister AMA Muhith told reporters that the construction work of the bridge would begin by November this year.

Communications Minister Obaidul Quader, Planning Minister A H M Mustafa Kamal and M Abdul Mannan, state minister for finance and planning, were present at the signing ceremony.