June 26, 2015

ADB to fund Bangladesh rail projects

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THE Asian Development Bank (ADB) plans to provide about $US 6bn to help fund road, rail and regional connectivity projects in Bangladesh.


In 2016, ADB will provide support for implementation of phases 1 and 2 of a new 100km railway linking the metre-gauge railhead at Dohazari with Cox's Bazar's. ADB had already funded a feasibility study and detailed design for the project. Bangladesh Railways signed a memorandum of understanding with China Railway Group late last year to build the line.

This will be followed in 2018, with a loan for a project to dual-gauge the 230km metre-gauge line from Dhaka to Chittagong to improve access to Chittagong Port. The line would then be able to be used by 1676mm-gauge trains from the western part of Bangladesh as well.

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