Govt Plans 9% Budget Decrease for Infrastructure Sectors

Industry: Logistics, Logistics & Shipping

The Bangladesh government has proposed a 9% reduction in the budget for road, rail, and bridge sectors in the next fiscal year, potentially delaying ongoing projects and expansion plans. The Roads and Highways Department (RHD) will receive Tk 32,042 crore, a 5.93% decrease, while Bangladesh Railway (BR) will get Tk 13,726 crore, an 8.25% reduction. The Bangladesh Bridge Authority (BBA) is allocated Tk 7,309 crore, significantly less than the previous year. Officials are concerned that reduced funds may hinder road improvement, bridge replacement, and land acquisition projects. However, transport experts emphasize the importance of efficiently utilizing the available budget. Despite cuts in these sectors, the increased allocation for shipping indicates a move towards a balanced transport system. Some major projects are nearing completion, which partly justifies the reduced budget. Nonetheless, ongoing financial constraints are seen as a primary reason for the cuts in these priority sectors.

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