Dhaka-Chattogram Expressway

This letter is in reference to the report titled 'Dhaka-Chattogram Expressway Project put on the Back Burner' that was published in the Financial Express on July 13.

It is surprising that a project that has been developed over six years at a cost of Tk 970 million is being shelved in favor of a high-speed railway between Dhaka and Chattogram. For the latter project, feasibility has not been comprehensively conducted and so the cost has not been properly determined.

The Dhaka-Chattogram Expressway project has been conceived for implementation under public-private partnership (PPP). This means that the Bangladesh government does not have to invest any substantial fund for the construction of the project. Of course, the government has to undertake the risk of viability funding. But exhaustive studies have been carried out on this issue and the Asian Development Bank has approved risk mitigation plans.

The Roads and Highways Department (RHD) had invited requests for Registration of Interest (ROI) for the Dhaka-Chattogram Expressway project under PPP system. A good number of proposals were received after that.

Apparently for the high-speed railway project, the government is considering a government to government (G2G) arrangement with Chinese funding. If past experience is any guide, we may expect several years before the funding can be realised. If the project is implemented on G2G Chinese funding, consideration has to be given to the cost of the funding and the repayment period.

It is hoped that the finance ministry will consider the impact of this project under G2G Chinese funding on the country's economic health.

Engr. Aung K Thein

A senior citizen

[email protected]