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Bangladesh, Japan sign $ 1.23bn agreement for development projects including metro rail

Black_cats

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Published on 10:54 PM, June 28, 2022

Bangladesh, Japan sign $ 1.23bn agreement for development projects including metro rail​


Dhaka Tokyo ink loan

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Star Digital Report

Bangladesh and Japan have signed a loan and grant agreement worth $1.23 billion (165.861 billion yen) for projects including the northern route of Mass Rapid Transit (MRT) Line 5.

Japanese Ambassador to Bangladesh Ito Naoki and Economic Relations Division Secretary Fatima Yasmin signed the Exchange of Notes of the 43rd Official Development Assistance (ODA) Yen Loan and Grant Aid of Japan to Bangladesh.

The first batch of the 43rd round of yen loans includes two projects in the package. One is to develop roads, drainage and water supply facilities, agriculture-related facilities, and waste management facilities in the southern Chattogram area, according to a statement of the Japan embassy in Dhaka today.

The other is the northern route of MRT Line 5, which connects Dhaka's MRT transportation network in an east-west direction, and will be developed to improve the functioning of the urban transportation network.

With the additional grant aid, the Japanese companies involved can proceed and complete the construction work hopefully by 2025.

"I am sure today's signings have shown further willingness of the Japanese people to contribute to the fast and sustainable growth of Bangladesh," said Ambassador ITO at the signing ceremony.

Japan has been the single largest bilateral donor for Bangladesh since 2012, and the total amount of its aid as Yen Loan has reached USD 25.59 billion (commitment base).

The 43rd Exchange of Notes covers the projects -- Southern Chattogram Regional Development Project (loan amount: 32,462 million yen); Dhaka Mass Rapid Transit Development Project (Line 5 Northern Route).

The grant aid signed is meant for the Project for Improvement of Meteorological Radar System in Dhaka and Rangpur (Grant Aid). This is the project to construct meteorological radar and related facilities in Joydebpur and Rangpur.

Bangladesh signs Tk 92bn deal with Japan for metro rail linking Dhaka's east to west​

2022-06-29 00:19:57
Staff Correspondent, bdnews24.com
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With the first phase of Dhaka metro rail from the capital's north to south set to be completed within months, the government has signed a 133.39 billion yen credit deal with Japan for another metro rail linking the city's east to west.

In terms of Bangladeshi currency, the deal is worth Tk 92 billion. Economic Relations Secretary Fatima Yasmin and Japanese Ambassador Naoki Ito signed the deal in a virtual meeting on Tuesday.

On the 19.6-kilometre Route 5, metro rail link will be established between Savar's Hemayetpur and Bhatara via Gabtoli, Mirpur 10, Kochukhet, Banani and Gulshan 2.

The tracks from Hemayetpur to Aminbazar and from Notun Bazar to Bhatara will be elevated while the remaining 13.5 kilometres will be under the ground.

The total estimated cost of the project is Tk 410 billion, of which Japan will provide around Tk 290 billion.

Under the 43rd yen credit deal, Japan will also provide around Tk 22 billion through currency swap for the South Chattogram Development Project.



Metro rail coaches ran between Uttara North to Pallabi stations via Uttara Centre and Uttara South stations in its first trial run on Sunday, Aug 29, 2021. Photo: Mostafigur Rahman

Metro rail coaches ran between Uttara North to Pallabi stations via Uttara Centre and Uttara South stations in its first trial run on Sunday, Aug 29, 2021. Photo: Mostafigur Rahman
The government had planned to set up Bangladesh’s first metro rail from Uttara to Motijheel via Mirpur. Later, it decided to extend the line to Kamalapur.


The Japan International Cooperation Agency or JICA has provided around Tk 166 billion out of nearly Tk 220 billion for the project’s Uttara-Motijheel phase.

It will provide Bangladesh with $158 million in loan to extend the Dhaka metro rail line from Motijheel to Kamalapur, according to a deal signed in March.

A test run was held on the first metro rail project's Uttara-Agargaon portion in December 2021. This portion is expected to become operational in December 2022.

 
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AViet

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You have to be very careful with quality of Japanese engineering (in foreign projects).

The quality of Japanese engineering in many Vietnamese projects leaves much to be improved. Just some examples:

1. The bridges of Phuoc Khanh and Binh Khanh in Ho Chi Minh city (parts of an urban expressway)

2. More than 20 km of viaduct of metro No.1, also in Ho Chi Minh city

Both cannot be used because of erroneous engineering. Now these projects have been in limbo for years, because no one wants to accept the truth (i.e. need to destroy wholly to build new ones) and no one dare approve to commission these Japanese engineering pieces.
 

REhorror

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You have to be very careful with quality of Japanese engineering (in foreign projects).

The quality of Japanese engineering in many Vietnamese projects leaves much to be improved. Just some examples:

1. The bridges of Phuoc Khanh and Binh Khanh in Ho Chi Minh city (parts of an urban expressway)

2. More than 20 km of viaduct of metro No.1, also in Ho Chi Minh city

Both cannot be used because of erroneous engineering. Now these projects have been in limbo for years, because no one wants to accept the truth (i.e. need to destroy wholly to build new ones) and no one dare approve to commission these Japanese engineering pieces.
OMG, I hope this isn't true, else the HCM Metro is gonna take forever (I mean it's near what, 10 years already?).

I myself saw Binh Khanh Bridge (JICA section of Ben Luc - Long Thanh Project), I heard the official reason was that the wind resistance was insufficient but our govt cannot prove the fault with the design hence it stayed there forever and the Japanese withheld the fund.
 

PadmaBridge

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You have to be very careful with quality of Japanese engineering (in foreign projects).

The quality of Japanese engineering in many Vietnamese projects leaves much to be improved. Just some examples:

1. The bridges of Phuoc Khanh and Binh Khanh in Ho Chi Minh city (parts of an urban expressway)

2. More than 20 km of viaduct of metro No.1, also in Ho Chi Minh city

Both cannot be used because of erroneous engineering. Now these projects have been in limbo for years, because no one wants to accept the truth (i.e. need to destroy wholly to build new ones) and no one dare approve to commission these Japanese engineering pieces.

To their credit, Japanese do fix their mess.

Too much pride.

Am surprised they haven’t fixed the above mentioned project. Must be mired in China-Japan politics.

In any case, Bangladesh tends to get the structural engineering designs done by western companies. Asian companies only do the build.

Does Vietnam take the same approach?
 

Bilal9

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In any case, Bangladesh tends to get the structural engineering designs done by western companies. Asian companies only do the build.

Does Vietnam take the same approach?

It depends on WHICH Japanese company does the design and construction. In Bangladesh only VERY top tier Japanese companies usually get involved like Ohbayashi, Shimizu etc.

For example - this JICA financed project (Kalna Bridge which is a six lane arch suspension bridge - see image) on the Madhumati river in Southern Bangladesh is being built by a JV between Ohbayashi and a local civil engg. firm (Abdul Monem Group). Local companies are increasingly capable of designing and executing bridges like these, but if JICA finances, they will of course appoint a Japanese company as contractor.

Ohbayashi had the steel arches for this bridge fabricated in Vietnam. I am guessing they have a facility in that country to do that.

iu
 

bluesky

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1656837289211.png

It depends on WHICH Japanese company does the design and construction. In Bangladesh only VERY top tier Japanese companies usually get involved like Ohbayashi, Shimizu etc.

For example - this JICA financed project (Kalna Bridge which is a six lane arch suspension bridge - see image) on the Madhumati river in Southern Bangladesh is being built by a JV between Ohbayashi and a local civil engg. firm (Abdul Monem Group). Local companies are increasingly capable of designing and executing bridges like these, but if JICA finances, they will of course appoint a Japanese company as contractor.

Ohbayashi had the steel arches for this bridge fabricated in Vietnam. I am guessing they have a facility in that country to do that.

iu
I do not think Abdul Momen can be a design/ consulting company. It is a construction company and is working with another Japanese company in a JV effort in this project.

It is not necessary that a construction company can automatically become a design company. Design and construction of a civil engineering project are related but the fields are different. Abdul Momen is not not here a design company.
 

REhorror

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If Bengal bros can get these projects done, but we can't, it means we have a big, big government corruption problems.

Anyway, good luck tiger bros.
 

etylo

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You have to be very careful with quality of Japanese engineering (in foreign projects).

The quality of Japanese engineering in many Vietnamese projects leaves much to be improved. Just some examples:

1. The bridges of Phuoc Khanh and Binh Khanh in Ho Chi Minh city (parts of an urban expressway)

2. More than 20 km of viaduct of metro No.1, also in Ho Chi Minh city

Both cannot be used because of erroneous engineering. Now these projects have been in limbo for years, because no one wants to accept the truth (i.e. need to destroy wholly to build new ones) and no one dare approve to commission these Japanese engineering pieces.
I thought you guys are full of praise and admiration for things Japanese such as engineering feats and products at the same despise things are Chinese made all the time.
 

etylo

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Am surprised they haven’t fixed the above mentioned project. Must be mired in China-Japan politics.
I don't think the projects have anything to do with Chinese Japanese politics, it's just between Vietnam and Japan on to how fix them. Like we know, Viets like Indians like to have their infrastructures build by Japanese, they don't want Chinese to get involved in their projects of this sort.
 
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UKBengali

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If Bengal bros can get these projects done, but we can't, it means we have a big, big government corruption problems.

Anyway, good luck tiger bros.


Thank you.

BD and Vietnam can use each other as a benchmark.


IMF says the following about GDP growth of both countries up to 2027:

Screenshot 2022-07-03 at 10.10.57.png



BD usually does 0.5-1% better than IMF forecasts.
 

REhorror

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I don't think the projects have anything to do with Chinese Japanese politics, it's just between Vietnam and Japan on to how fix them. Like we know, Viets like Indians like to have their infrastructural build by Japanese, they don't want Chinese to get involved in their projects of this sort.
Actually we have a rail project with chinese contractor in the North and it works.
The japanese contractor projects in the South is the one that's been stalled.
 

etylo

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Actually we have a rail project with chinese contractor in the North and it works.
The japanese contractor projects in the South is the one that's been stalled.
You guys want to have a HSR built from Hanoi to Ho Chi Min by Japanese as you guys preferred, but not until 2050 ? That's a long time to wait.
 

REhorror

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You guys want to have a HSR built from Hanoi to Ho Chi Min by Japanese as you guys preferred, but not until 2050 ? That's a long time to wait.
At this moment, we just want HCM metro to be finished first pronto, that should be the major priority.
It's been going for 10 years and Covid delays it for a year.
 

bluesky

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If Bengal bros can get these projects done, but we can't, it means we have a big, big government corruption problems.

Anyway, good luck tiger bros.
I believe the wrong bridge/ highway that the Japanese built in Vietnam has more to do with the inefficiency of your govt engineering authorities. They are authorized to check the survey results and design analysis but remained complacent with their own decision.

The Japanese just followed the Vietnamese authority's decision. It is part of Japanese culture not to challenge a higher authority. In the case of Japanese domestic projects, there is little chance of making errors.

Not taking an arbitrary decision by a single person is also part of Japanese culture. So, the engineers in a govt office sit together, discuss the issues one after another and make correct decisions together.

Vietnam may have no similar traditions. So, one top engineer makes mistakes because of his shallow knowledge and the project implementation suffers.
 

REhorror

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I believe the wrong bridge/ highway that the Japanese built in Vietnam has more to do with the inefficiency of your govt engineering authorities. They are authorized to check the survey results and design analysis but remained complacent with their own decision.

The Japanese just followed the Vietnamese authority's decision. It is part of Japanese culture not to challenge a higher authority. In the case of Japanese domestic projects, there is little chance of making errors.

Not taking an arbitrary decision by a single person is also part of Japanese culture. So, the engineers in a govt office sit together, discuss the issues one after another and make correct decisions together.

Vietnam may have no similar traditions. So, one top engineer makes mistakes because of his shallow knowledge and the project implementation suffers.
Last time I check, the design issues were fixed, but JICA don't fund it no more so we are looking for alternative funding now.
It's been radio silent long time.

Still, those bridge projects are less prioritized than the HCM Metro, we need that, it would really help the city and the current construction site is blocking the roads for years now.
 

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