Japan Invests $1 Billion in Railway and Budget Support
Japan has committed $1.063 billion in aid to Bangladesh, with a major portion dedicated to railway upgrades and structural budget support. This is reported by the railway transport news portal
Japan and Bangladesh signed a bilateral agreement on Friday to boost infrastructure and financial resilience. The deal focuses on enhancing the country’s railway network and supporting economic reforms.
Tokyo will provide a $418 million Development Policy Loan to reinforce Bangladesh’s fiscal stability and climate adaptation plans. This funding is expected to accelerate public sector reforms and improve economic sustainability.
Railway Project Receives $641 Million for Major Upgrade
Japan will allocate $641 million to upgrade the Joydevpur-Ishwardi railway section. The investment includes constructing a dual-gauge double track to ease freight traffic and reduce travel times.
The railway modernization will improve regional trade logistics and passenger movement. Authorities believe this project will strengthen national connectivity and align with broader transport infrastructure goals.
Additional Grant Targets Education and Cooperation
Alongside infrastructure and financial support, Japan will grant $4.2 million for scholarships. The funding aims to send Bangladeshi students to Japanese universities, encouraging educational and technological partnerships.
Abul Kalam Azad Majumder, Deputy Press Secretary to the Chief Adviser, confirmed the terms of the agreement and emphasized its developmental impact. He noted the railway upgrade will be a transformative step in modernizing national logistics.
Japan, a consistent development partner, has invested heavily in Bangladesh’s key sectors. This latest package signals Tokyo’s commitment to sustainable growth and regional cooperation.
By combining railway investment with budgetary support and education funding, Japan reaffirms its strategic role in South Asia’s development landscape.
