Funding will come from Japan, ADB, and South Korea

TDS Desk:

The government approved three metro rail projects involving a total estimated cost of Tk2,49,746 crore.

The projects were approved at a meeting of the Executive Committee of the National Economic Council (Ecnec) held today (16 September), with Prime Minister Tarique Rahman in the chair.

The projects include revised cost proposals for the Japan-funded MRT Line-1 (Airport–Kamalapur) and MRT Line-5 Northern (Hemayetpur–Bhatara), as well as the MRT Line-5 Southern (Gabtoli–Dasherkandi) project, which will be jointly financed by the Asian Development Bank and South Korea.

MRT Line-5 Southern was initially scheduled to be the only project on the Ecnec meeting’s agenda. However, the two revised Japan-funded projects were also placed before the committee and approved.

The 31.24-kilometre MRT Line-1 project has an estimated cost of Tk1,14,394.89 crore.

Meanwhile, the 20-kilometre MRT Line-5 Northern project has an estimated cost of Tk89,848.36 crore.

MRT Line-1 cost rises by 117.64%

The cost of the MRT Line-1 project is set to rise by 117.64% following approval of its revised development proposal.

The project, which runs from Hazrat Shahjalal International Airport to Kamalapur, is now targeted for completion by 2033.

The project was initially approved at an Executive Committee of the National Economic Council (Ecnec) meeting on 15 October 2019, with an estimated cost of Tk52,561.43 crore.

Of the original estimated cost, Tk13,111.11 crore was to come from government funds, while Tk39,450.32 crore was to be provided as a loan by the Japan International Cooperation Agency (Jica).

Under the revised proposal, the government allocation has been increased by 133% to Tk30,552.26 crore, while the JICA loan has been raised by 112.53% to Tk83,842.63 crore.

MRT Line-5 Northern cost rises by 117.87%

Meanwhile, the cost of the MRT Line-5 Northern project is set to increase by 117.87% under the restructured DPP.

The project, approved in 2019, originally had an estimated cost of Tk41,238.54 crore.

Under the restructured DPP, the government allocation has been increased by 84.22% to Tk22,330 crore, while the Japanese loan component has been raised by 131.89% to Tk67,518 crore.

One of the project’s main objectives is to build and operate an approximately 20km MRT corridor from Hemayetpur to Bhatara. The Hemayetpur-Amin Bazar section will be elevated, while the Amin Bazar-Bhatara section will be underground because it passes through densely populated areas.

MRT Line-5 Southern

Meanwhile, MRT Line-5 Southern project has finally been approved, with the aim of improving connectivity between the eastern and western parts of Dhaka and easing traffic congestion.

The new project has been estimated to cost Tk45,503 crore. The Asian Development Bank (ADB) and South Korea will provide Tk30,306 crore in loans, while the remaining Tk15,197 crore will come from the government treasury.

The route will extend from Gabtoli to Dasherkandi through underground and elevated sections.