June 12, 2025 1:26 pm

Exception in the Transport Sector: Metro Rail Sees Nearly Threefold Budget Increase

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June 2, 2025 7:21 pm
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In the proposed budget for the 2025–26 fiscal year, allocations for most segments within the transport sector have been reduced. However, the notable exception is the metro rail, which has seen a significant boost in funding. Compared to the original allocation for the current fiscal year, the proposed allocation for the next year is nearly double—and almost triple the amount allocated in the revised budget for 2024–25.

The metro rail project is being implemented and operated by the state-owned Dhaka Mass Transit Company Limited (DMTCL), under the Road Transport and Highways Division of the Ministry of Road Transport and Bridges.

According to budget documents, DMTCL was allocated Tk 6,605.81 crore in the 2024–25 budget, which was later revised down to Tk 4,672.26 crore. For the upcoming 2025–26 fiscal year, the proposed allocation for DMTCL stands at Tk 11,469.53 crore.

When asked about this significant increase, Fauzul Kabir Khan, advisor to the Ministry of Road Transport and Bridges, told that a higher allocation does not necessarily mean increased spending. “The previous government signed several contracts that must now be honored. To continue those commitments, higher budgetary allocations are required,” he explained. Tenders for these projects will be invited as per the contract terms. He also added that efforts are ongoing to reduce project costs through tender adjustments, and if costs go down, the actual expenditure will also be lower.

Currently, metro rail services are operational between Uttara and Motijheel in Dhaka, and work is underway to extend the line to Kamalapur. In addition, construction of six new metro rail corridors across five different lines is progressing at various stages in the capital.