Bangladesh Plans Dhaka-Chattogram High-Speed Railway: Travel Time to Under 2 Hours

Dhaka, August 8, 2026 — The Bangladesh government has announced plans to build a high-speed rail link between Dhaka and Chattogram, a transformative infrastructure project that would cut travel time between the capital and the country's main port city to under two hours — dramatically reshaping the logistics landscape for Bangladesh's export economy.

🚂 The Announcement

Home Minister Salahuddin Ahmed disclosed the plan on Friday at an event hosted by the Chittagong Journalist Forum, Dhaka (CJFD). The minister, who is also the MP for Cox's Bazar, said the route — once realised — would revolutionise connectivity between Bangladesh's two most important economic centres. The announcement signals a renewed government push for transformative infrastructure investment after years of focus on crisis management.

"The previous 'fascist' government carried out research on transport development but failed to implement it," he said, referencing studies conducted under the Awami League administration that identified the Dhaka-Chattogram corridor as a priority for high-speed rail development. The current government appears determined to move those plans from research to reality.

📊 Why This Matters: The Dhaka-Chattogram Corridor

The Dhaka-Chattogram corridor is the single most important transport route in Bangladesh — carrying the overwhelming majority of the country's export cargo (particularly ready-made garments) from factories in and around Dhaka to the Port of Chattogram for shipment to global markets. Currently, the journey by road takes 6-8 hours depending on traffic, while the existing rail link takes even longer. A high-speed rail connection that reduces this to under two hours would have transformative implications:

• 🚀 Travel time: Under 2 hours (from current 6-8 hours by road)
• 📦 Export logistics: Dramatically faster movement of RMG and other export goods to Chattogram Port
• 💰 Cost reduction: Lower transportation costs for exporters, improving competitiveness
• 🏢 Economic integration: Deeper economic integration between Dhaka and Chattogram
• 🚜 Industrial decentralisation: Making intermediate locations more attractive for industrial investment

🔧 "Cord Line" Alternative Rail Route

The minister also stressed the need to prioritise an alternative rail route, or "cord line", to strengthen Bangladesh's transport network. A cord line would provide a more direct rail connection between Dhaka and Chattogram, bypassing some of the congestion points on the existing route and providing redundancy in case of disruptions on the main line. This is particularly important for export logistics, where shipment delays can result in penalties from international buyers and lost contracts.

⚡ Energy Crisis: Matarbari Fuel Stockpile and New FSRUs

Outlining plans to tackle the energy crisis, the home minister announced that the government intends to stockpile 100,000 tonnes of fuel in Matarbari, alongside building two more floating LNG terminals (FSRUs) there. The Matarbari deep-sea port — currently under development — is positioning itself as Bangladesh's energy hub, with coal-fired power plants already operational and LNG infrastructure being expanded.

• 🛢️ Fuel stockpile: 100,000 tonnes at Matarbari
• 💧 New FSRUs: 2 additional floating LNG terminals at Matarbari
• 🌏 Location advantage: Matarbari deep-sea port provides direct access for large vessels

The Awami League government built a "heavy reliance" on West Asia for fuel, Salahuddin said — a reference to the long-term LNG supply contracts with Qatar and Oman that have proven vulnerable to disruption during the Middle East conflict. He stressed that tackling the energy crisis requires a diversified strategy beyond gas or oil alone. The government, he said, is working with multiple countries on varied sources rather than depending on any single nation.

🌏 Strategic Context: Infrastructure for Post-LDC Bangladesh

The high-speed rail announcement comes at a critical moment for Bangladesh's infrastructure planning. The country is preparing for LDC graduation in November 2026, which will require dramatic improvements in export competitiveness to compensate for the loss of duty-free market access. Infrastructure bottlenecks — particularly in transport and energy — have long been identified as a major constraint on Bangladesh's competitiveness, with the World Bank estimating that logistics costs in Bangladesh are among the highest in South Asia.

A high-speed rail link between Dhaka and Chattogram would address one of the most significant of these bottlenecks. The current road journey between the two cities is not only slow but also dangerous — the Dhaka-Chattogram highway has one of the highest accident rates in the country. A dedicated high-speed rail corridor would provide a faster, safer, and more reliable alternative for both passenger and freight movement.

📈 Matarbari: Bangladesh's Emerging Energy and Logistics Hub

The decision to locate the fuel stockpile and new FSRUs at Matarbari reflects the government's broader strategy of developing the site as a multi-purpose energy and logistics hub. Matarbari offers several advantages:

• 🚢 Deep-sea port access: Can accommodate large vessels that cannot enter Chattogram port
• 🛢️ Coal-fired power plants: Already operational, providing baseload power
• 💧 LNG infrastructure: Existing and planned FSRUs for regasification
• 📦 Export processing zone: Planned industrial development around the port
• 🌏 Strategic location: Closer to Southeast Asian shipping routes than Chattogram

🏛️ Challenges Ahead

While the announcements are ambitious, Bangladesh has a mixed track record on implementing large infrastructure projects. The Padma Bridge — completed in 2022 — was a success story, but it took more than a decade from conception to completion. The Dhaka Metro Rail, Karnaphuli Underwater Expressway, and several other mega-projects have faced significant delays and cost overruns.

For the high-speed rail project, key challenges will include: land acquisition along the corridor (which passes through some of the most densely populated areas of Bangladesh), financing (high-speed rail is among the most expensive infrastructure per kilometre), technology selection (which country's high-speed rail system to adopt), and integration with existing transport networks. The home minister did not provide a timeline for the project or indicate whether feasibility studies have been completed.

✅ What Comes Next

The next steps for the high-speed rail project will likely include a detailed feasibility study, environmental impact assessment, and financial viability analysis. The government will need to secure financing — potentially from China, Japan, or multilateral lenders like the Asian Development Bank — and negotiate technology transfer agreements. For the energy initiatives, the Matarbari fuel stockpile could be operational relatively quickly if existing storage infrastructure is repurposed, while the two new FSRUs would require 2-3 years from order to deployment. Together, these initiatives represent the most ambitious infrastructure and energy investment programme announced since the political transition of August 2024 — and a signal that the government is shifting from crisis management to long-term strategic planning.