Economy
PM Hasina officially proclaims completion of Karnaphuli Tunnel’s south side
Prime Minister Sheikh Hasina on November 26 today have joined an event marking an end to the general work of Bangabandhu Sheikh Mujibur Rahman Tunnel’s south tube, which goes beneath the river Karnaphuli in Chattogram. She also officially proclaims the completion of the tunnel’s south side.
Sheikh Hasina joined the event, organized by the Bridges Division, virtually from her official residence Ganabhaban.
Construction work of the Karnaphuli Tunnel’s southern end has been completed entirely, while 99 percent work of the tunnel’s northern end has been finished.
This is the first under-river tunnel in South Asia, which is expected to contribute 0.166 percent in the national economy growth with boosting employment, tourism, and industrialisation. Karnaphuli Tunnel is expected to improve the traffic situation in Chattogram.
According to project sources, two 5.35km approach roads are being constructed on the eastern and western sides of the tunnel. The length of the tunnel is 3.32km, and it is being constructed at a depth of 18 to 31 metres under the Karnaphuli river.
According to officials, as of now, the overall progress of the project is 94 percent. It’ll take two more months to complete the rest of the work.
Karnaphuli Tunnel is being built at a cost of Tk 10,374 crore. The tunnel project is being implemented with joint funding of the governments of Bangladesh and China (G2G). The Exim Bank of China is giving a loan of Tk 5,913 crore while the Bangladesh government is funding the rest.
The Karnaphuli river divides Chattogram into two parts. The tunnel being built – following the “One City, Two Towns” model like Shanghai in China – will connect the port city on the north with Anwara upazila on the south.
At present, the construction of a toll plaza at the tunnel’s Anwara end is going on in full swing.
Project officials are hoping that the Karnaphuli Tunnel will bring about revolutionary changes to the road communication landscape between Dhaka-Chattogram-Cox’s Bazar. Chattogram’s Anwara has already started to witness a change in its fortune through setting up of new industries on both sides of the tunnel’s approach road in the upazila.
At least 10 large industrial groups and 150 businesspeople have bought land in advance to establish factories in various sectors – power, petroleum, apparel, shipbuilding, fish processing, steel, cement and oil refinery – on the south bank of the Karnaphuli, according to official data.
The tunnel will reduce the distance between Cox’s Bazar and Chattogram by 40km.
During the eleventh month of the current fiscal year, the country’s foreign currency reserves have fallen below $19 billion for the first time. After paying off some import bills, the reserves have now stood at $18.26 billion on Sunday.
According to the International Monetary Fund (IMF), as of May 8, the total foreign currency reserves of the country were $19.82 billion.
Mohammad Mezbauul Haque, the spokesperson of Bangladesh Bank, informed that through the Asian Clearing Union (ACU), the central bank has paid off import bills totaling $1.63 billion over the past two months.
However, Bangladesh Bank maintains that after paying off the import bills, the foreign currency reserves now stand at $23.71 billion.
According to the Central Bank’s accounts, the reserves were $25.27 billion on May 8.
The Dhaka Stock Exchange (DSE) and the DSE Brokers Association (DBA) have expressed gratitude towards Prime Minister Sheikh Hasina for her directive to list government companies in the capital market, a move hailed as timely and positive.
The directive was issued during the recent meeting of the Executive Committee of the National Economic Council (Ecnec) last Thursday.
Dr. Hafiz Muhammad Hasan Babu, Chairman of DSE, described the directive as a significant step towards enhancing the dynamics of the capital market. He emphasized that besides invigorating the capital market, this move would also attract foreign investment and promote sustainable development.
Despite previous efforts, government institutions had not been listed in the stock exchange, according to a notification issued by the DSE. The Prime Minister’s directive is seen as a pivotal step towards revitalizing and expanding the economy.
Dr. Babu further remarked, “The listing of reputable companies in the capital market, as directed by the Prime Minister, will greatly benefit the country’s economy. It will also enhance investor confidence.”
Similarly, the DBA released a notification applauding the Prime Minister’s directive, terming it as positive and timely for the capital market.
Saiful Islam, President of DBA, expressed optimism about the directive’s potential to accelerate the country’s capital market and overall economy. He pledged support to relevant government departments and regulatory bodies in implementing the directive, ensuring its positive impact on the economy, including the capital market.
India has expressed interest in financing Bangladesh’s Teesta project, announced Foreign Minister Hasan Mahmud. Speaking to reporters after a meeting with Indian Foreign Secretary Vinay Mohan Kwatra, Mahmud stressed the importance of aligning the project with Bangladesh’s needs. He confirmed discussions on the Teesta issue during the meeting. Mahmud also affirmed Prime Minister Sheikh Hasina’s upcoming visit to New Delhi, indicating that the finalization of the date would depend on the formation of the new Indian government following ongoing elections.
Meanwhile, the IMF has approved a $1.15 billion staff-level loan for Bangladesh in its third tranche. Mahmud noted the ongoing elections in India and the subsequent formation of the new government as factors influencing the scheduling of PM Hasina’s visit.
When asked about the sequence of visits to India and China, Mahmud suggested Delhi’s geographical proximity to Bangladesh. Diplomatic sources suggest PM Hasina’s visit to India is planned for early July, following India’s elections.
Pre-election surveys indicate strong prospects for Indian Prime Minister Narendra Modi’s re-election. Modi previously congratulated PM Hasina on her electoral victory in January, expressing optimism about strengthening ties between the two nations.
The last bilateral engagement between the prime ministers occurred during the G-20 Leaders Summit in September 2023. Modi is expected to invite South Asian and BIMSTEC leaders to his swearing-in ceremony, fostering regional cooperation.
Addressing border killings, Mahmud emphasized the government’s commitment to ending such incidents and promoting the use of non-lethal weapons by border forces. Discussions also covered enhancing physical and people-to-people connectivity, including cooperation with India to import hydropower from Nepal and Bhutan through India. Mahmud highlighted the need to further ease visa restrictions to strengthen people-to-people relations.
