Development
Bangladesh can’t sustain growth without decentralisation: Experts
Experts at a seminar on Thursday said Bangladesh cannot sustain its development journey without meaningful decentralisation and stronger local government institutions.
The Policy Research Institute of Bangladesh (PRI) hosted the event, the second in its two-part series titled “Can Bangladesh Develop Without Decentralising? – Some Lessons from East Asia and Thoughts on the Local Government Reform and Other Commissions’ Reports”.
PRI Executive Director Dr Khurshid Alam called for inclusive dialogue on strengthening local governance as a cornerstone of broader reforms.
Dr Badiul Alam Majumdar, member of the National Consensus Commission, warned that decentralisation must go hand in hand with political reform.
“If politics continues to operate as a business rather than a public service, honest people will remain reluctant to join it,” he said.
He said principle of subsidiarity—resolving issues at the level closest to citizens—as the guiding motto for reform.
Delivering the keynote, PRI Director Ahsan presented evidence that Bangladesh is among the most centralised countries of its size globally.
He said this structure undermines service delivery in education, health, sanitation, and infrastructure.
Citing East Asian experiences, he argued that well-designed decentralisation—anchored in accountability, transparency, and performance monitoring—is essential for sustained growth.
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Ahsan endorsed many recommendations of the Local Government Reform Commission but criticised proposals for indirect elections of local government representatives and overlapping jurisdictions, warning these could weaken accountability.
He also urged clarity in fiscal and administrative decentralisation to avoid fragmentation.
Dr M. Masrur Reaz, Chairman and CEO of the Policy Exchange of Bangladesh, highlighted that economic activities remain overly concentrated in Dhaka and Chattogram with Dhaka’s traffic congestion alone causing an estimated $4 billion in annual losses.
He stressed stronger coordination between local and central governments to cut waste and improve public services.
The seminar concluded with a question-and-answer session reaffirming that decentralisation is central to building a more inclusive, accountable, and resilient development model for Bangladesh.
The seminar brought together leading policymakers, economists, and governance specialists to examine how decentralisation could improve public services, reduce economic overconcentration, and make development more inclusive.
2 months ago
ADB reaffirms robust support for Bangladesh’s reform drive, sustainable development
The Asian Development Bank (ADB) has reaffirmed its enduring partnership with Bangladesh, pledging continued support for the country’s reform-oriented development agenda and sustainable growth trajectory, particularly as it prepares for graduation from Least Developed Country (LDC) status.
The assurance came during a high-level bilateral meeting between Bangladesh’s Finance Adviser Dr Salehuddin Ahmed and ADB President Masato Kanda, held on the sidelines of the 58th Annual Meeting of the ADB, according to a message received here on Thursday.
During the discussion, Dr Salehuddin Ahmed expressed Bangladesh’s deep appreciation for ADB’s consistent support over the decades, noting the breadth of collaboration spanning infrastructure, energy, education, health, and climate resilience.
He underscored that ADB’s cumulative portfolio in Bangladesh has now reached USD 32.5 billion, with commitments of USD 2.94 billion in the 2023–24 fiscal year alone, a testament to the depth of the development partnership.
As Bangladesh advances toward LDC graduation, Dr Ahmed emphasised the importance of adapting development cooperation to the nation’s evolving needs.
He described this juncture as a pivotal moment—not only in economic terms but also politically—highlighting the emergence of a historic student-led movement and a reform-mandated government driving transformational change.
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In this context, he called upon ADB to align its assistance with Bangladesh’s ambitious reform priorities, focusing particularly on governance, transparency, and efficient public service delivery.
Looking to the future, Dr Ahmed proposed deeper ADB engagement in strategic areas such as integrated river management and the formulation of a Blue Economy Master Plan. He further emphasised the need for investment in digital transformation of the health sector, modernisation of tax administration, and education reforms to build a future-ready workforce.
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He also drew attention to the pressing need for sustainable urban development, calling for ADB’s assistance in building smart, climate-resilient cities, improving municipal services, and supporting regional urban infrastructure. On the energy front, Bangladesh is seeking ADB’s backing to scale up renewable energy generation and enhance regional energy trade.
“Enhanced concessional support from ADB is not only vital for sustaining Bangladesh’s development momentum, but also a strategic investment in regional stability, effective climate action, and inclusive growth,” said Dr Ahmed, urging the Bank to recalibrate its concessional financing mechanisms in line with the unique challenges facing economies in transition.
In response, ADB President Mr Masato Kanda lauded Bangladesh’s economic resilience and progress, reiterating the Bank’s historical commitment to the country.
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He acknowledged the significance of the issues raised by the Bangladesh delegation, assuring that these would receive due consideration. “ADB has always placed special importance on Bangladesh and will continue to support its journey towards social and economic security,” Kanda said.
6 months ago
Mongla Port Development: Work on Pashur Channel Dredging begins
A project titled "Pashur Channel Maintenance Dredging" has begun at Mongla port to maintain navigability of the channel.
Approved during an ECNEC meeting last week, this project is estimated to cost Tk 1,538.19 crore.
The project taken by the Mongla Port Authority follows the completion of dredging at the Outer Bar of the Pashur Channel, with ongoing work at the Inner Bar.
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Upon completion, ships with drafts of 9.5 to 10 meters will be able to dock directly at Mongla Port’s jetties.
The initiative aims to sustain the port's channel depth and ensure its smooth operation, officials said.
Overcoming Past Challenges
Mongla Port faced severe navigability issues between 2002 and 2007 due to a lack of dredging in the Outer and Inner Bar channels.
The port became nearly inoperative due to the constraints, with a sharp decline in ship arrivals.
After completing a Tk 712 crore Outer Bar dredging project in 2020, the port now accommodates ships with 9-meter drafts.
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Later the port authority started dredging the Inner Bar, spanning 23 kilometers from Joymonirgol to the port jetties.
Despite initial projections to complete the Tk 793.72 crore project by June 2022, delays increased costs to Tk 992 crore.
New Maintenance Dredging Project
The newly approved maintenance dredging project for Pashur Channel will be implemented from January 2025 to December 2029.
Of the total project cost, Tk 1,384.37 crore will come from the government, with the remaining Tk 153.82 crore funded by Mongla Port Authority.
Besides, the "Procurement of Supporting Vessels for Mongla Port (1st Revised)" project will now cost Tk 936.56 crore, up from Tk 767.25 crore, and is set to be completed by June 2025.
Boosting Port Capacity
Rear Admiral Shahin Rahman, Chairman of Mongla Port Authority, said there is no alternative of regular dredging to sustain the country’s second-largest seaport.
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"The port has proven its growing significance by facilitating key national projects like Rooppur Nuclear Power Plant, Rampal Power Plant, and Metro Rail," he said.
With ongoing and planned projects, Mongla Port aims to overcome navigability challenges, enhance its operational efficiency, and further contribute to the economic growth of Bangladesh’s southwestern region.
"We are implementing a comprehensive master plan to transform Mongla Port into a modern and dynamic facility capable of handling future demands," he said.
10 months ago
China reaffirms continued support for Bangladesh's development
Chinese Ambassador to Bangladesh Yao Wen on Tuesday said China is committed to continuing its utmost support for Bangladesh’s development and deepening cooperation in infrastructure projects including railways.
"We are ready to actively consider all project proposals officially submitted by the Bangladeshi government after a sound feasibility and cost-benefit analysis," he said while speaking at the inaugural ceremony of the Padma Bridge Rail Link Project.
Noting that next year marks the 50th anniversary of diplomatic relations between Bangladesh and China, Ambassador Yao said China is also ready to provide technical support for feasibility studies.
Adviser for the Ministry of Railways, Ministry of Power, Energy and Mineral Resources, and Ministry of Road Transport and Bridges Muhammad Fouzul Kabir Khan, Secretary of the Ministry of Railways Fahim Islam, and Director General of Bangladesh Railway Afzal Hussain were, among others, present.
According to statistics released by Bangladesh, in the fiscal year 2024, he said, the total amount of foreign direct investment (FDI) to Bangladesh declined by 8.8%.
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But the FDI from China experienced a remarkable threefold increase compared to the previous fiscal year, said Ambassador Yao, adding, "So far, more than 20 Chinese companies have set up their South Asian headquarters in Bangladesh."
Since the interim government took office, at least 11 Chinese enterprises have invested a total of $180 million in Bangladesh.
The Ambassador said they will continue to encourage Chinese enterprises to remain deeply engaged in Bangladesh, contributing to the nation’s industrial upgrading and export diversification and further strengthening our comprehensive strategic cooperative partnership to benefit the Bangladeshi people.
"As a key cooperation project under the Belt and Road Initiative, it is also the “Road of Dreams” for the Bangladeshi people," he said, referring to the rail link project.
With today’s entire operation of the project, the travel time between Dhaka and Jessore will be reduced from 10 hours to 2 hours, directly benefiting a population of 80 million and contributing an estimated 1.5 percent to Bangladesh’s GDP growth, he said.
Despite challenges such as the COVID-19 pandemic, both sides overcame difficulties to ensure the project was completed safely, with high quality, and on schedule, said the envoy.
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Project engineers shared that as the largest infrastructure project undertaken by China in Bangladesh, this project has extensively adopted advanced Chinese technologies and equipment, including ballastless tracks and automated sleeper production lines.
Villagers along the project route also expressed their gratitude, saying that Chinese enterprises are not only builders of projects but also doers of public welfare to local communities.
They helped construct access roads, build bridges, improve flood drainage systems, and donate flood relief, anti-epidemic control, and educational materials.
"The project provided thousands of jobs for local communities and trained thousands of skilled Bangladeshi technicians," said Ambassador Yao, adding that it has successfully driven economic and social development along the route, becoming a model of Bangladesh-China economic and trade cooperation.
"China stands ready to collaborate with Bangladesh to ensure this railway delivers even more significant economic and social benefits," said the Ambassador.
China pursues a policy of friendship and good-neighbourliness for all the people of Bangladesh, and sincerely hopes that the nation could achieve unity, stability, and development, and firmly supports the interim government, he said.
Since the establishment of the interim government, Ambassador Yao said, China has demonstrated its support with concrete actions. "We dispatched a medical team to Bangladesh to assist those injured in the July-August movement."
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Recently, a delegation led by the Vice Chairman of the China International Development Cooperation Agency visited Bangladesh, and had a meeting with Chief Advisor Prof Yunus and other advisors, delivering emergency relief and medical supplies.
In response to Prof Yunus’ request for Chinese enterprises to establish solar panel manufacturing plants in Bangladesh, a delegation of Chinese photovoltaic enterprises from the People’s Government of Yunnan Province of China is currently exploring investment opportunities here.
The envoy said Bangladesh has begun to enjoy zero tariff treatment for 100% of taxable items to China since December 1st this year. China has remained Bangladesh's largest trading partner for 15 consecutive years.
The Chinese enterprises hold a positive outlook on the development prospects of Bangladesh, he said.
11 months ago
Development budget set for major shrink as govt to cut ‘politically motivated’ projects
The development budget for 2024-25 fiscal year, approved by the previous government, is likely to witness a major shrink as the interim government has decided to scale back many of those labeling them ‘politically motivated’.
The interim government that came to power on August 8 following the student-led mass uprising has decided to cut short these ‘unessential’ projects, aiming to prevent wastage of public money.
According to the Planning Ministry sources, the Executive Committee of the National Economic Council (ECNEC) concluded in its meetings that several projects initiated by the Awami League government had not delivered satisfactory results relative to their costs.
“The development budget would be smaller comparing to the previous years,” Planning Adviser Dr Wahiduddin Mahmud recently told in a media briefing after an ECNEC meeting.
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The first four months of the current fiscal year have seen an exceptionally low 8% implementation rate of the development budget, which also applies to foreign-funded projects.
The Planning Commission data shows that the rate stands at 12-13% for government entities using their own funds to implement projects.
The pace of government development programmes has remained sluggish, with the Annual Development Programme (ADP) recording one of its lowest execution rates in the last five years.
During the first four months of the current fiscal year, from July to October, the ADP implementation rate stood at only around 8%, the lowest figure in recent years, according to the Implementation Monitoring and Evaluation Division (IMED) of the Planning Ministry.
Its data highlights that, in contrast, the same period last year saw an execution rate of 11.54%.
Specifically, for the period from July to October of the current fiscal year, the government managed to implement development projects worth Tk 21,978 crore, according to the IMED.
Dr Yunus- led interim government in its first Ecnec meeting had decided to reduce the development budget.
Dr. Wahiduddin Mahmud said many of the previous projects were politically motivated and unlikely to yield positive results in proportion to their costs.
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“We did not believe these would bring any substantial results, so we have cut them. Typically, the revised development budget shrinks, but this time the reduction will be more significant,” he said.
Planning Ministry sources said the slow pace of project implementation is partly due to the fact that many project directors have fled.
This has created significant challenges for the government in continuing the projects.
Planning Commission sources said the interim government is putting emphasis on the innovative and new type of projects moving away from outdated and politically motivated ones.
The Planning Adviser has instructed relevant officials to carefully design projects ensuring they will deliver multiple positive outcomes relative to their costs, the sources said.
The National Economic Council (NEC) of the Awami League government approved the Annual Development Programme (ADP) for the fiscal year of 2024-2025 with an outlay of Tk 265,000 crores.
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The transport and communication sector got the highest allocation of Tk 70, 687.75 crore (26. 67pc of allocation) in the ADP.
Besides, the NEC approved some Tk 13,288.91-crore ADP of the autonomous bodies or corporations.
In the new ADP, the total number of projects is 1,321 including 1,133 investment projects, 21 survey projects, 87 technical assistance projects and 80 projects from the autonomous bodies and corporations.
With 13,288.91 crore ADP for autonomous bodies or corporations, the total size of ADP for 2024-2025 stood at Tk 278,288.91 crore.
1 year ago
In another first, PM Hasina opens Ctg-Cox's Bazar railway line
Prime Minister Sheikh Hasina on Saturday (November 11, 2023) inaugurated the much-awaited 102-kilometre Chattogram-Cox's Bazar dual-gauge single railway line setting yet another milestone in the country's communication network.
The southern region wore a festive look as she unveiled the new rail route (from Dohazari in Chattogram to Cox’s Bazar) for train movement at a ceremony at newly constructed Cox’s Bazar Railway Station.
The premier flagged off a train and then travelled by it from Cox’s Bazar Railway Station to Ramu Railway Station.
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She bought her own ticket from the counter of the railway station. She waved the green flag before boarding the train.
She also blew the whistle signalling the start of the train.
Addressing the inauguration programme, the prime minister said, “Today Cox's Bazar has been linked to the country's railway network. I am really very delighted for being able to attend the inaugural ceremony physically, " she said.
"I have kept my promise by inaugurating the railway. This was a longstanding demand of this region. This is a day of feeling proud," she said.
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Talking to reporters during the train ride, the prime minister said that this train link will contribute a lot to country’s GDP and economy.
“Transportation of goods, people and tourists will be expedited resulting in increase the GDP and more vibrant economy,” she said.
She mentioned that Cox’s Bazar has the longest sandy sea beach in the world.
“But we could not build this tourist spot up to the mark. We have to make sure that tourists can come here comfortably,” she said.
PM Hasina said that apart of tourists conveyance the trade and commerce of this area have been given importance.
“We are building a deep seaport, power station, building an economic zone here,” she said.
She also mentioned that Bangladesh will be linked with trans Asian railway by this rail line.
“This rail line will go to Ghumdhum from Ramu, later from Ghumdhum it will be linked with South and South East countries.”
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On her arrival at the venue, the prime minister was received by Railways Minister Md Nurul Islam Sujan and local MPs.
Local artists greeted her with traditional songs and dances.
The railways minister presided over the programme.
Asian Development Bank (ADB) country director for Bangladesh Ginting and Railways Ministry secretary Md Humayun Kabir also spoke at the event.
2 years ago
Hasina and Modi jointly inaugurate rail connectivity and power projects
Prime Minister Sheikh Hasina and her Indian counterpart Narendra Modi jointly opened the newly constructed Akhaura-Agartala Dual Gauge Railway Link Project, setting a significant milestone in cross-border connectivity.
The important rail connection would contribute to boosting trade, business and tourism between the two neighbouring countries.The 12.24-km rail connection has linked Gangasagar Railway Station at Akhaura in Brahmanbaria to Nischintapur Railway Station at Agartala in India, connecting the northeastern region of India and Bangladesh.
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The railway link, with 6.78 km in Bangladesh’s part, was constructed under a joint venture of Bangladesh and India. The Akhaura (Bangladesh)-Agartala (India) railway line construction started in July 2018.
The two prime ministers unveiled the Akhaura-Agartala cross-border rail link, joining an event from Ganabhaban in Dhaka and New Delhi through a virtual platform.
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The two PMs also inaugurated two other Indian-aided projects --Khulna-Mongla Port Railway Construction Project and Unit-2 of Rampal Maitree Super Thermal Power Plant in Bagerhat.
The 65-km railway from Khulna to Mongla port in Bagerhat would streamline goods transportation to the port. This railway will help transport Mongla port goods affordably within the country and support trade with India, Nepal, and Bhutan, contributing to regional economic growth. The Khulna-Mongla railway project began in September 2016.
The second unit of the Maitree Super Thermal Power Plant Rampal would add 660 megawatt electricity to the national grid.
The Maitree Super Thermal Power Plant-2 and the 65-kilometre Khulna-Mongla Port Railway Link have been implemented under the Indian LoC (Line of Credit) while the Akhaura (Bangladesh) and Agartala (India) Railway Link with Indian grants.
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The Maitree Super Thermal Power Plant, known as Rampal thermal power plant, with a total capacity of 1,320 MW in two units was implemented under a joint venture of the two neighbouring countries.
2 years ago
Bangabandhu Tunnel under the Karnaphuli River: All you need to know
Initial work on a tunnel project to build ‘One City, Two Towns’ on the model of Shanghai city of China, on both banks of the Karnaphuli River in Port City Chattogram, began as early as 2017.
This project is jointly funded by the governments of Bangladesh and China (G2G). Though initially estimated to cost some Tk 8400 crore, over time that has ballooned to Tk 10,698 crore. Bangladesh government provided Tk 4,619 crore, while the China Exim Bank contributed over Tk 6,000 crore to support the project.
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The project aims to replicate a 'One City Two Towns' concept, similar to Shanghai in China, on both sides of the Karnaphuli River.
The main tunnel has a length of 3.32 kilometres, with each of the two four-lane tubes measuring 2.45 kilometres.
Additionally, there will be a 5.35 km link road at both the west and east ends of the main tunnel, along with a 727-metre-long flyover at the Anwara end.
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The tunnel is situated at a depth ranging from 18 to 31 metres beneath the Karnaphuli River.
Vehicles will enter the tunnel from Outer Ring Road, Elevated Expressway, Kathgar Road, Airport Road, and Patenga Beach Road through the tunnel’s north side. Vehicles will run at a speed of 80 km per hour through this tunnel.
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According to the project documents, the tunnel will connect the proposed Asian Highway with the Dhaka-Chattogram-Cox's Bazar highway and reduce the distance from Chattogram to Cox's Bazar by 40 km.
2 years ago
Caretaker govt system laid to rest in Azimpur graveyard: Quader
Awami League General Secretary and Bangladesh's Road Transport and Bridges Minister Obaidul Quader on Thursday (October 19, 2023) said the caretaker government system has been laid to rest in Azimpur graveyard.
"Why would the prime minister resign? Don't call for the caretaker government again. The path that BNP is taking is the wrong path. BNP is now on the verge of collapse after a failed movement,” he said.
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Quader was speaking after the inauguration of 150 bridges and 14 overpasses at Sharak Bhaban in Dhaka's Tejgaon on Thursday morning.
In his speech, the AL leader highlighted the development of Bangladesh in the last 15 years and said that this transformation is considered a marvel by the world. “This has been possible due to the creative leadership of Bangabandhu's daughter, Prime Minister Sheikh Hasina.”
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"If you want to protect the development of this country, the achievements of this country, the democracy of this country, if you love the country, then there is no alternative to Sheikh Hasina," he added.
“Don't they see that the Prime Minister of Britain respects the Prime Minister of Bangladesh? The President of the United States took photos at the G-20 (with Sheikh Hasina) and also in New York,” he said.
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Home Minister Asaduzzaman Khan; Chairman of the Parliamentary Standing Committee on the Ministry of Road Transport and Bridges, Begum Raushan Ara Mannan, spoke on the occasion, among others.
2 years ago
PM Hasina opens 150 bridges in 39 districts in a single day
In another development milestone, Prime Minister Sheikh Hasina on Thursday (October 19, 2023) opened 150 newly constructed bridges in 39 districts and 14 newly constructed overpasses of the Roads and Highways Department simultaneously.
She also unveiled the foundation stones of 1,100-metre Kewatkhali Bridge and 1,471-metre Rahmatpur Bridge over Brahmaputra river in Mymensingh, while opened newly constructed DTCA Bhaban for Dhaka Transport Coordination Authority, BRTA Automated Motor Vehicle Fitness Test Centre of Bangladesh Road Transport Authority, BRTC Bus Depot and Training Centre of Bangladesh Road Transport Corporation as well as conferred the financial assistance to the road accident victims.
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The premier inaugurated these infrastructures through a virtual platform from a programme in Sarak Bhaban in the city’s Tejgaon area. The audiences were also connected virtually from Mymensingh Circuit House Ground and BRTA Office in Mirpur.
She also unveiled a mural of Bangabandhu in Sarak Bhaban, the office of Roads and Highways Department.
In less than one year since the simultaneous inauguration of 100 bridges across the country, the prime minister opened 150 more bridges -- 40 bridges in Mymensingh Division, 32 in Dhaka Division, 27 in Chattogram, 22 in Rajshahi, 12 in Khulna, eight each in Barishal and Rangpur and one in Sylhet division.
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Total length of the 150 bridges is 9.45km and the total length of 14 overpasses — eight in Rajshahi Division and six in Rangpur Division — is 689 meters.
The 1100-metre Kewatkhali bridge, which is set to be the largest steel-arch bridge in the country, will be constructed at a cost of Tk 3263.63 crore, while the 1471-metre Rahmatpur bridge will be constructed at a cost of Tk 358 crore by June 2025.
Stop race to overtake on roads: PM
Addressing the function, the prime minister asked the drivers of motor vehicles to stop abnormal races on roads and tendency to overtake others unnecessarily, for preventing accidents and thus protecting the lives of the people.
“We’ll have to stop the unusual competitions that take place on roads and the tendency to overtake,” she said.
She stressed the need for imparting proper training to the drivers to check the unusual race on the road and change their mindset to avoid the unnecessary race.
“They (drivers) should be given psychological education that it (the race) would invite damage not only to the people rather the drivers may lose their own lives as well,” she added.
Hasina asked all to follow speed limit and traffic rules and allow the drivers to take proper rest.
She focused on her government’s success over improvement of the country’s road connectivity, including development of highways and construction of bridges during her three consecutive regimes since 2009.
On 7 November 2022, PM Hasina opened the 100 bridges in 25 districts. The total length of the bridges was 5.5km.
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Among the 150 bridges constructed with a total cost of Tk 3,287 crore, the notable ones include Garakola and Nayarhat bridges in Gopalganj, Chapair bridge in Gazipur, Titas bridge in Brahmanbaria, Muhuri bridge in Feni, Matamuhuri bridge in Cox’s Bazar, Machrong bridge in Barishal, Tulalampur bridge in Narail, Simakhali bridge in Magura, Arialkhar bridge in Bogura, Bahagili bridge in Nilphamari, Chatak-Surma bridge in Sylhet.
Eight of the new overpasses were constructed on Elenga-Hatikamrul-Rangpur Highway.
The premier opened the distribution of financial assistance among the road accident victims and family members. A total of 162 victims or family members –-42 persons from Dhaka Division, 39 from Chattogram, 26 from Rajshahi, 18 from Rangpur, 11 from Khulna, 10 each from Mymensingh and Sylhet and six from Barishal division—received the financial assistance in the function.
The distribution of the financial assistance among the road crash victims will continue.
Road Transport and Bridges Minister Obaidul Quader, Chairperson of Parliamentary Standing Committee on the Ministry of Road Transport and Bridges Rowshan Ara Mannan and Secretary of Road Transport and Highways Division ABM Amin Ullah Nuri spoke at the event, while Chief Engineer of Roads and Highways Department Syed Moinul Hasan delivered the welcome speech.
2 years ago