Govt moves to revive stalled Dhaka Metro Rail expansion projects

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Govt moves to revive stalled Dhaka Metro Rail expansion projects

B Mirror Report: The government has decided to revive Dhaka’s long-delayed metro rail expansion projects, including MRT Line-1 and MRT Line-5, in a renewed effort to improve public transport and reduce chronic traffic congestion in the capital.

Officials said the decision reflects a fresh push to accelerate the city’s mass rapid transit network after months of delays caused by rising project costs, procurement concerns and funding uncertainties.

A high-level meeting held at the Ministry of Finance on Wednesday approved steps to restart the stalled projects through revised development proposals, fresh negotiations with development partners and more competitive bidding processes.

The meeting, chaired by Finance and Planning Minister Amir Khosru Mahmud Chowdhury, reviewed the progress of MRT-1, MRT-5 (Northern Route) and MRT-5 (Southern Route) and discussed the way forward with officials from implementing agencies and development partners.

The minister directed authorities to renegotiate with the Japan International Cooperation Agency (JICA) and revise existing Development Project Proposals (DPPs) to ensure cost rationalisation, transparency in procurement and stronger governance standards.

Officials said implementing agencies have been instructed to prepare a detailed roadmap to resume work on the stalled projects as quickly as possible, in response to growing public demand for improved urban transport.

The projects were originally approved under the previous administration but were later suspended during the interim government’s review, which flagged unusually high bid prices and procurement irregularities. Some international contractor bids were reported to be nearly double the original estimates.

According to officials, Japanese contractors submitted bids for MRT-1 and MRT-5 (Northern Route) that were between 90 percent and more than 390 percent higher than initial projections, pushing the combined estimated cost to around Tk 1.84 trillion.

For MRT Line-1, which will connect Airport, Kamalapur and Purbachal, the original estimate was Tk 525.61 billion, but revised bids raised the projected cost to nearly Tk 960 billion. Some packages saw cost increases of up to 172 percent.

The government had earlier approved the 20-kilometre MRT-5 (Northern Route) from Hemayetpur to Bhatara at a cost of Tk 412.39 billion. However, the Asian Development Bank-funded MRT-5 (Southern Route) remained unapproved due to high costs and fiscal constraints.

Officials said the renewed strategy will focus on competitive and transparent bidding while encouraging the use of locally available materials to help reduce overall construction costs.

Following the latest policy decision, Dhaka Mass Transit Company Limited (DMTCL) and relevant agencies are expected to begin revising project documents and accelerate preparations for the resumption of physical construction work.

 

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