The 2.5 Lakh Crore Metro Rail Enigma: Inflated Costs, Tied Loans, and Coordinated Smear Campaigns

Published: September 18, 2026 | Author: Mezbah Uddin

The Executive Committee of the National Economic Council (ECNEC) recently approved three massive Metro Rail projects encompassing 64.44 kilometers of underground and elevated tracks. Spanning from Hemayetpur to Vatara, the Airport to Kamalapur, and Gabtoli to Daserkandi, the total expenditure for these projects has ballooned to a staggering 2.5 lakh crore BDT. With construction and operational costs averaging 3,876 crore BDT per kilometer, serious questions are emerging regarding monopolistic loan conditions, the financial burden on everyday commuters, and a coordinated political smear campaign designed to protect vested interests.

The JICA Monopoly and Skyrocketing Expenditures

Initial estimates for Metro Rail Line-1 and Line-5 stood at approximately 93,000 crore BDT, heavily backed by loans from the Japan International Cooperation Agency (JICA). However, investigative reports and internal project analyses indicate that JICA’s funding comes with severe “tied” conditions: 100% of the technology, materials, and equipment must be imported directly from Japan.

By eliminating competitive global bidding, this restrictive clause effectively grants Japanese companies a monopoly to dictate pricing. Consequently, the projected costs for the JICA-funded projects have skyrocketed to over 2 lakh crore BDT. To put this into perspective, an internal review by the Dhaka Mass Transit Company Limited (DMTCL) analyzing contemporary Asian mega-projects revealed that Metro Rail construction in neighboring India costs between 150 to 450 crore BDT per kilometer (excluding land acquisition and salaries) a fraction of Dhaka’s current 3,876 crore BDT per kilometer average.

Pushback from the Administration and the Resulting Smear Campaign

Unwilling to accept this massive drain on public funds, the current Managing Director of the Metro Rail project, in consultation with government advisor Fouzul Kabir, actively pushed back against JICA’s exploitative conditions. Upon failing to negotiate fairer terms, the administration began exploring alternative funding avenues through the Asian Development Bank (ADB), the World Bank, and China.

This definitive stance against foreign financial exploitation immediately triggered a fierce backlash from vested domestic interest groups. Allegations have surfaced that significant sums of money are being funneled to specific “investigative journalists” to manufacture controversies against the project’s leadership. The resulting smear campaigns have targeted the MD with fabricated issues regarding an Australian citizenship and an Indian Aadhaar card, while advisor Fouzul Kabir is being politically branded with a “Jamaati” tag.

These coordinated character assassinations are reportedly finding active amplification from major political factions, including the Bangladesh Nationalist Party (BNP) and its supporters, effectively undermining the government’s efforts to reduce mega-project corruption.

Tactical Maneuvers in ECNEC Approvals

The sheer disparity in costs between different funding sources led to tactical administrative maneuvering during the ECNEC approval process. Of the three recently approved projects, one is funded by the ADB and South Korea (Line-5 South) with an estimated cost of 45.5 thousand crore BDT significantly cheaper per kilometer than the Japanese counterparts.

Responsible government sources indicate that the two highly expensive JICA-funded projects were not originally on the day’s ECNEC agenda. They were aggressively pushed through at the last minute alongside the ADB project. This simultaneous approval was reportedly designed to avoid comparative scrutiny; passing the cheaper Line-5 South first would have inevitably raised difficult questions about why the JICA-funded lines were exponentially more expensive.

The Financial Burden on Everyday Commuters

The Metro Rail Act of 2015 explicitly states that the primary objective of the network is to provide the public with “fast and improved public transport services at a low cost,” mandating that fares be aligned with the financial capacity of the general public. However, the reality of the Uttara-Motijheel line (which cost 1,584 crore BDT per kilometer) tells a different story.

Currently, the minimum fare is set at 20 BDT, with a full 20-kilometer trip costing 90 BDT rates that are notably higher than Metro Rail networks in neighboring countries. In contrast, standard bus fares for the same distance in Dhaka are government-mandated at 50 BDT, with a minimum fare of 10 BDT. While the Metro is an air-conditioned, premium service, it heavily prices out lower-income demographics. If the new lines cost upwards of 3,800 crore BDT per kilometer, the state will be forced to either impose exorbitant ticket prices to meet loan installments or heavily subsidize the network, applying massive pressure on the national macroeconomy.

Editorial Analysis: The Weaponization of Propaganda

The controversy surrounding the Metro Rail funding is just one front in a broader, highly organized information war. In recent months, vested propaganda outlets have consistently spread misinformation regarding sensitive national issues ranging from port development, transit corridors, and the sovereignty of St. Martin’s Island, to the establishment of the UN human rights office and the trials for enforced disappearances.

By transforming the narratives of oligarchs and political opportunists into mainstream political discourse, these factions are attempting to paralyze vital state reforms. The relentless attacks on officials who attempt to renegotiate exploitative foreign loans reveal a troubling reality: elements within the political establishment are willing to sacrifice massive amounts of public funds to maintain the status quo.

As the administration pushes forward, the civil society landscape is expected to fracture and realign. Intellectuals and civil leaders who previously operated under the banner of secularism are increasingly witnessing how progressive rhetoric has been weaponized to defend entrenched oligarchies and foreign exploitation. This evolving political clarity may inadvertently shift traditional alliances, causing a significant portion of the civil society to reassess their stances not out of ideological sympathy for right-wing factions, but as a direct reaction to the relentless smear tactics and strategic blunders of established political parties.