Bangladesh Railway has signed a memorandum of understanding (MoU) with China Railway Group to build a new rail line in the south-east part of the country.
UNB reported that under this agreement, the Chinese company will build a 100km-long line on the Dohazari-Cox’s Bazar route via Ramu and Ramu-Gundum near Myanmar.
Bangladesh rail minister Mazibul Hoque was quoted by the news agency as saying that the proposed railway line will boost the economy of the country.
“The rail route will also play an important role to communicate directly with China and Myanmar and to link with Trans-Asian Railway,” Hoque said.
The Asian Development Bank (ADB) has funded for the feasibility study and a detailed design of this rail project.
China Railway Group will start construction after a technical team of the Chinese Government submits a report on the proposed project.
In November, Bangladesh Railway signed a contract with an Indonesian company to deliver 150 stainless-steel coaches to the fleet in the next two years.
Under this contract, the Indonesian firm will supply 100m-gauge coaches and 50 broad-gauge coaches.
Mazibul Hoque was quoted by the website as saying: “Within the next four years, railways will make significant progress. It will be almost like the railways of other countries around the world if not on par with them.”
The total cost of the coaches will be $57.6 million and ADB will fund for the project.