Operation of HSIA 3rd Terminal

Dhaka, Tokyo move closer to deal

Both sides are now working towards a win-win agreement: Officials


FE REPORT | Published: April 04, 2026 00:10:10


Dhaka, Tokyo move closer to deal

Bangladesh and Japan have stepped up efforts to resolve a long-running deadlock over the operation of Hazrat Shahjalal International Airport's (HSIA) third terminal, holding a high-level meeting on Friday that officials say could lead to an agreement within days.
The second round of senior-level talks, held at the Ministry of Foreign Affairs, focused on key financial and operational issues surrounding the third terminal -- an infrastructure project that is largely complete but remains idle due to management disputes.
The meeting brought together top policymakers from both sides, including Foreign Minister Dr Khalilur Rahman, Civil Aviation and Tourism Minister Afroza Khanam, State Minister for Foreign Affairs Shama Obaed Islam, Prime Minister's Foreign Affairs Adviser Humayun Kabir, and State Minister for Civil Aviation and Tourism M Rashiduzzaman Millat.
Senior officials, including Bangladesh Investment Development Authority (BIDA) Executive Chairman Chowdhury Ashik Mahmud Bin Harun and Civil Aviation Authority of Bangladesh (CAAB) Chairman Air Vice Marshal Md Mostafa Mahmood Siddiq, were also present.
The Japanese delegation was led by Nakayama Rieko, assistant vice minister at Japan's Ministry of Land, Infrastructure, Transport and Tourism.
Officials said discussions centred on narrowing differences over service charges, operational control and revenue-sharing arrangements -- issues that had stalled earlier negotiations.
A senior CAAB official said the Japanese consortium has recently revised its financial proposal, addressing several concerns raised by Bangladesh.
The renewed push follows a previous meeting on March 13 this year, the first formal negotiation under the current BNP-led government. At that time, Bangladesh had asked Japan to submit a revised proposal to ensure more favourable terms and correct imbalances in earlier drafts.
Officials said both sides are now working towards a "win-win" agreement that protects Bangladesh's financial and operational interests while ensuring international standards in airport management.
The third terminal of Hazrat Shahjalal International Airport -- one of the country's largest infrastructure projects -- has been built with Japanese support, mainly through the Japan International Cooperation Agency (JICA).
Once operational, it is expected to significantly boost passenger capacity, improve service quality and strengthen Dhaka's position as a regional aviation hub.
However, despite nearing completion, the terminal has remained unused for years due to unresolved issues over its operation, maintenance, cost structure and revenue sharing.
The delay has raised concerns as existing terminals at Hazrat Shahjalal International Airport are already operating beyond capacity.
Friday's meeting was seen as a key step towards unlocking the long-delayed facility, with both sides under pressure to turn years of investment into operation.

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