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Bangladesh will Purchase Railway Fleet from India

05 January 2011 Wednesday, 12:44

Bangladesh Railway (BR) will purchase 30 broad gauge locomotives, 100m gauge tank wagons and ten diesel electric rail cars from India, financed through a $1bn loan.

The BDT10bn ($139m) rail procurement contract is part of an agreement signed between the countries in August 2010 for implementing ten development projects in Bangladesh.

The railway will float tenders immediately if the projects are approved by the Executive Committee of the National Economic Council.
BR will replace its replace 65 locomotives with 30 broad gauge locomotives at an estimated cost of BDT6.07bn ($84.5m).

The wagons will be procured for BDT770m ($10.7m) and diesel electric rail cars for BDT3.31bn ($46m) within 12 months of the approval.
Of the total project cost, BDT1.83bn ($25m) will come from the Bangladeshi Government and the rest through a loan from Exim Bank.

The key objectives of the rail projects include building railway infrastructure and supplying broad gauge locomotives and passenger coaches, according to bdnews24.com.

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