ADB approves $1.78 billion to improve regional trade route in Bangladesh

Asian Development Bank (ADB) today approved a $1.78 billion multitranche financing facility (MFF) to improve mobility, road safety, and regional trade along Dhaka-Sylhet trade corridor in Bangladesh.

The Dhaka-Sylhet corridor will support a new trade route that connects Chattogram port with India's northeastern states through three land ports of Akhaura, Sheola, and Tamabil, and from there to Bhutan and Myanmar, a press release of the ADB said.

"Bangladesh's export-driven economic growth has shown its unique potential and opportunity of becoming a regional transport and trade hub. To sustain this growth, the country's transport infrastructure needs to be improved," said ADB Transport Specialist for South Asia Satomi Sakaguchi.

The SASEC Dhaka-Sylhet Corridor Road Investment Project will be delivered in four tranches. The $400 million first tranche of the MFF will help finance the initial works of the major contracts for the widening of about 210km of National Highway No. 2 along the Dhaka-Sylhet corridor from a two-lane to a four-lane road with slow-moving vehicular traffic lanes.

It will include 60km of footpath, 26 footbridges, and 13 overpasses. Its design will have features responsive to the needs of the elderly, women, children, and the differently-abled, as well as disaster and climate risks.