14th ISSUE

A Litmus Test for Bangladesh Economy

It began with a verdict. Not a speech, not a scandal—just a quiet ruling from Bangladesh’s judiciary. On June 5, 2024, the High Court reinstated a quota system for government jobs, reserving 56 percent of positions for specific groups, including descendants of freedom fighters. For many students, it felt like a door slamming shut.     Within days, campuses across the country stirred with frustration. The movement that followed—Students Against Discrimination—was born not in fury, but in resolve. Their rallies were orderly, their chants measured. But beneath the surface, tension simmered.   By early July, that tension boiled over. The protests evolved into the “Bangla Blockade,” a sweeping shutdown of roads and highways that paralysed the nation’s arteries. Buses vanished. Containers stacked up at ports. Supply trucks idled outside factories.   Dhaka’s markets emptied as perishables spoiled in the heat. Exporters missed deadlines. Small traders watched their earnings evaporate. What began as a student movement had metastasized into an economic crisis.   DEFINING MOMENTS June 5 | 2024 High Court reinstates quotas June 7-15 | 2024 Students begin peaceful rally, social media activism July 01 | 2024 Nationwide Bangla Blockade begins July 16 | 2024 Violent crackdown, leaving dozens killed Late July | 2024 FDI approvals drop 40%; export delays, gas shortages August 5 | 2024 Interim Government formed Sep–Dec | 2024 Interest hits 10%; ADP spending 49-year low Jan–Mar | 2025 Remittances peak; inflation eases; current account surplus Apr–Jul | 2025 Recovery phase: DSEX up 12.5%; exports rebound; MFS grows 64% August 5 | 2025  One-Year Anniversary     A Nation on Edge   On July 16 of 2024, the calm shattered. Security forces moved in with batons, tear gas, and live ammunition. The clashes were brutal. Ambulances raced through smoke-filled streets. Students lay bloodied on stretchers. Families camped outside police stations, desperate for news.   Independent monitors reported hundreds injured and dozens dead. The government disputed the numbers. But the images—broadcast across television screens and social media—left little room for doubt. The shockwaves were immediate.   Investor confidence collapsed. The Dhaka Stock Exchange saw its sharpest single-day drop in five years. Foreign direct investment approvals fell nearly 40 percent in the second half of 2024, according to the Dhaka Chamber of Commerce and Industry. The city, once buzzing with commerce, fell into a hush.     Three weeks later on August 5, an interim government was announced, led by Nobel laureate Muhammad Yunus along with a panel of technocrats and civil society leaders. Their mandate: restore stability, rebuild trust, and prevent further economic unraveling.   The Economic Aftershocks   The July Uprising, as it came to be known, left no sector untouched. While the garment and ceramic sectors bore the immediate brunt, the ripple effects extended far wider.     The banking system, already strained by years of financial irregularities, teetered on collapse. A post-uprising asset quality review revealed widespread non-performing loans and misappropriated funds, prompting the interim government to initiate recovery drives and liquidity injections. The Bangladesh Bank raised the policy rate to 10 percent to tame inflation and stabilise the exchange rate.   Net foreign direct investment (FDI) dropped to a five-year low in 2024, as global investors cited political instability and opaque regulatory frameworks. The World Bank flagged Bangladesh’s deteriorating investment climate, while local chambers warned that the budget lacked a clear roadmap for restoring investor confidence.   The energy sector faced dual shocks: gas shortages crippled industrial output, while privatisation efforts triggered an 18 percent hike in urban electricity tariffs, sparking fresh protests.   The mental health toll was staggering. A Bangladesh Medical University seminar revealed that 82.5% of injured protesters suffered from depression, and 64% showed signs of post-traumatic stress disorder, underscoring the long-term human cost of the crisis.     In the ceramic industry, 70 factories struggled to stay afloat. The Bangladesh Ceramic Manufacturers and Exporters Association (BCMEA) reported that gas pressure—critical for kiln operations—dropped to as low as 2 PSI in some zones, far below the required 15. Production stalled. Costs soared.   Their demands were precise: uninterrupted gas supply, priority allocation, compressor permissions, a five-year tariff freeze, and duty-free solar imports. None were met.   The garment sector fared no better. The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) confirmed shipment delays averaging two weeks during the unrest.   Export Promotion Bureau (EPB) data showed a 7.8% decline in garment exports in Q3 of 2024. Buyers in Europe and North America have shifted orders to Vietnam and India. Smaller exporters faced penalties and lost contracts, according to the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA).   The Foreign Investors’ Chamber of Commerce and Industry (FICCI) called for stronger rule of law, faster customs clearance, and smoother approvals. The Bangladesh Chamber of Industries (BCI) highlighted the plight of agro-processors, many of whom faced wastage and layoffs. Their appeal: concessional loans and tax relief.   Even real estate, long seen as a safe haven, stumbled. The Real Estate and Housing Association of Bangladesh (REHAB) reported a sharp drop in property transactions, citing high registration fees, interest rates, and uncertainty over the Detailed Area Plan (DAP) revisions.   Across industries, the message converged: without urgent reform, Bangladesh’s hard-earned gains risked slipping away.   The Numbers Behind the Crisis   The numbers told a sobering story. By late 2024, exports faltered, imports shrank, and growth slowed to its weakest pace in years. The disruptions that began with student protests soon seeped into every corner of the economy, from factories to food markets.     Inflation surged through the summer, eroding wages and squeezing households already under strain. Though the pace of price rises eased the following year, the scars remained.   Construction sites went quiet, housing demand collapsed, and long-promised infrastructure projects were postponed. The slowdown was no longer abstract—it showed in half-finished bridges and shuttered shops.   Private investment also lost its footing. Business registrations dwindled, banks groaned under bad loans, and confidence withered. Even as revenue collection improved, it could not

Dream Train in the City of Oysters

Cox’s Bazar Rail Station has been built as a modern marvel for travelers. The new ‘green field’ of railway alignment has connected Cox’s Bazar, the top tourist destination and a rapidly developing region in Bangladesh. Finally, the long-term dream of tourists has been fulfilled. On November 11, 2023, Prime Minister Sheikh Hasina inaugurated the 102-kilometre dual gauge single railway line between Cox’s Bazar and Dohazari in Chattogram and the newly built Cox’s Bazar iconic rail station in the shape of oyster shell. The architect of the station, Mohammad Foyez Ullah, principal architect of Volume Zero Limited, took inspiration from the shape of an oyster for its exterior, which symbolises the beach. It is a station with marine atmosphere at first sight. With this, not only has the country’s leading tourist destination become more easily accessible, the entire southeast region is also poised for boosting trade and connectivity. The rail link project, the latest among several such communication-related projects, is part of an elaborate development scheme focused on Cox’s Bazar. Enhanced connectivity will be crucial for transportation of goods to and from Teknaf land port, as well as the growth of local industries including fish, salt, rubber raw materials, forest and agriculture products and dried fruits, according to local business experts. There are nine railway stations on this route, which means the surrounding areas will also see economic transformation. After Cox’s Bazar to Chattogram the stations are followed by Ramu, Islamabad, Dulahajara, Chakaria, Harbang, Lohagara, Satkania and Dohajari. The rail line will be extended to the Myanmar border, and to the planned deep-sea port on Matarbari Island. The extended part will have three stations – Ukhia, Teknaf and Ghumdhum (Bandarban). Cox’s Bazar Station to enhance tourists’ experience Nestled on a 29-acre expanse in Chanderpara, under the Jhilongjha union in Cox’s Bazar Sadar upazila, stands the paradise sighting station, located three km away from the sandy beach, built at a cost of Tk 215 crore. The six-storied building, covering 187,000 square feet area, captivates visitors with its unique exterior. The canopy serves a dual purpose — not only enhancing the station’s aesthetic appeal but also effectively cooling the building, ensuring proper air circulation, and welcoming ample natural light, according to the project engineers. Adding to the visual allure, a variety of coloured lights grace the front of the building, providing an artistic perspective to the station’s entrance. This station is Asia’s first 100 per cent tourist-friendly central air-conditioned multi-storied station. It has all kinds of facilities for tourists. Arrangements have also been made so that tourists can visit Cox’s Bazar in a day and return the same day without hotel accommodation. This railway is perfect Cox’s Bazar as an international tourist hub. It will be helpful to bring foreign tourists. Not only in the winter, tourists will be encouraged to visit Cox’s Bazar throughout the season including monsoon. In the construction of this iconic station, facilities of various modern stations of the world including China, Belgium, England, and Italy have been taken into consideration. A total of 250 engineers and more than 600 people, including 110 foreigners, were working in the entire project. After four years of hard work, the uniquely beautiful railway station building is visible today. On the ground floor, ticket counters, arrival and VIP lounges, ATM booths, Bank and forex service, pharmacy, post office, railway service office, baby care centre, information booth, and luggage lockers. The first floor offers a departure lounge, waiting lounges, display centres, locker room, prayer space, shops, and a cafe. Levels 2 to 5 house a shopping mall and food court, bookshop, five-star overnight stay option with dining, office spaces, restaurants, a multipurpose hall and hotel with recreational space for passengers. The hotel has 39 rooms. The fourth floor is intended to be leased for offices and conferences. Top floor reserved for future use. Travelers arriving at Cox’s Bazar by overnight train can conveniently store their belongings in lockers and explore the beach and other tourist spots during the day before catching a night train back to Chattogram or Dhaka. Tourists can leave their luggage in station lockers while they enjoy their time sightseeing at the beaches and tourist sites. Around 500 tourists will be able to keep their luggage in the station lockers at a time. As a result, tourists would be able to leave Cox’s Bazar without staying at night in hotel. However, they have to pay locker rent for this. The station is equipped with ample amenities, including escalators, lifts, parking area and refresh rooms for men, women, and those with physical disabilities. Accessing any of the three platforms is made easy with a footover bridge connected to escalators, staircases, and a ramp bridge facilitating movement between platforms. The rail station also features separate facilities for women, children, the elderly people. The Cox’s Bazar station has the capacity to transport around 50,000 people each day, as well as facilitate the operation of wagons for transporting fish, dried fish, salt and other items. Work of the project is being completed in two parts with China Railway Engineering Cooperation (CREC) and Toma Construction carrying out the first part from Dohajari to Chakaria and China Civil Engineering Construction Corporation (CCECC) and Max Infrastructure Limited are doing another part from Chakaria to Cox’s Bazar. Additional Deputy Inspector General of Tourist Police Cox’s Bazar region Apel Mahmud said the arrival of tourists in Cox’s Bazar will increase, thanks to the train service. All kinds of preparations have been made for the service and safety of tourists, he added. Passengers say the journey is enjoyable. A crooked rail line has been built through the green field and forest. Sometimes the hills touch, sometimes the eyes will be drawn to the unique beauty of the green village of Bangladesh. A hundred kilometers of railways has completed to see such a scene. Every station is equipped with relay batteries, generator rooms, sewage and waste management facilities, and energy-saving features such as solar panels. Both meter and broad gauge rail

Metro Rail A Reflection of a New Dhaka

Metro Rail will make Dhaka closer to people living in its immediate vicinity. It will change the landscape of the metropolitan city of 20 million people. It will also change the demography in a city where 45,000 people live in per square kilometer area. Motijheel was called the heart of the Dhaka city but thanks to Metro Rail, each station is being developed as a single heart. So, centering the ‘Mass Rapid Transit’ MRT-6 route’s 17 elevated stations, residential and commercial areas are undergoing major changes. Currently, it takes two hours to travel from Uttara to Kamalapur station; the Metro Rail service will bring that down to 40-45 minutes only. During peak hours, the $3 billion Metro Rail will be able to transport around 1800 passengers on each direction in every three and a half minutes on this route, resulting in an average reduction of 15 buses and 100 different types of vehicles on each direction. Traffic congestion is also expected to be reduced and huge working hours will be saved. As per the Minister of Road Transport and Bridges, Mr. Obaidul Quader, five more Metro Rail-routes will be constructed in Dhaka by the year 2030 when the face of Dhaka will change. It will cost about US$ 22 billion. On June 26, 2016, Prime Minister Sheikh Hasina officially inaugurated the construction work of the MRT-6 project. This marked the beginning of the construction work of the Elevated Metro in Dhaka. The elevated Viaduct on which the Trains will run is about 13 meters above the ground. In Dhaka, out of 17 stations on the 21-km-long MRT-6 route, construction of a 12 km railway track from Uttara to Agargaon and construction of 9 stations is nearing completion. Under the construction package CP-3 and CP-4, the stations are Uttara North, Uttara Center, Uttara South, Pallabi, Mirpur-11, Mirpur-10, Kazipara, Shewrapara and Agargaon. The plan to inaugurate the service along this section has been set for December 16, 2022. Each Metro station has a 180 meters long and 25 meters wide Concourse Hall. Passengers will use the stairs, escalators and elevators to purchase/recharge MRT Pass or Rapid Pass from the Concourse Hall and then board the Train from the Platform located above it. Each of these three-storied stations is built on an average 200,000 square feet area. Most of the materials used for constructing these stations have been procured locally. One of which is the use of different types of Tiles. These tiles include floor tiles, wall tiles, glass tiles, tactile tiles (for passengers with special needs), brick claddings for walls, paving blocks for platforms, and stone tiles. And these are special types of vitrified tiles made of high temperature, which do not corrode easily. Only 5 companies in the country are considered eligible to supply these tiles. About 50% cost has been saved due to the use of products manufactured locally. Metro Rail will require about 18 megawatts of electricity to be taken from the national grid. Then it will be converted to DC electricity. For this, eight Traction substations have been installed in Uttara Depot, Uttara North, Uttara South, Mirpur-11, Shewrapara, Bijoy Sarani, Shahbag and Motijheel Stations. The cost of operation and maintenance for Metro Rail is yearly one thousand crore taka will be borne from the fare and other sources such as rental/leasing of commercial and advertisement spaces. The government is thinking about keeping the fare affordable for passengers from all walks of life with subsidies at first. The ministry of Road Transport and Bridges gave an impression that the fare may vary between a minimum of 20 Taka to 100 Taka depending on the length of the journey along the 21-km route. There will be various announcements for passengers in Metrorail in both Bangla and English.   From uttara to kamalapur Metro Rail from Uttara to Kamalapur will take about 45 minutes. Although the highest design speed of the Metro Train is 110 kilometers per hour, the actual speed may vary due to the curves on the route and other operating factors. 17 stations in 21 kilometers mean each of the stations are located within one and a quarter kilometers from another. The Trains may stop for a maximum of one minute at each station. During peak hours, trains will run every three and half minutes apart. An estimated 60,000 passengers will be able to commute on both directions per hour from early morning to midnight. Once fully completed, 24 sets of Metro Trains will run from Uttara to Kamalapur. However, 12 sets out of those will be used for the first phase operation from Uttara to Agargaon. Initially each of these trains will have six coaches with an option of adding two more coaches to each of the Train sets if necessary. Each Train will have a total seating and standing maximum capacity of 2,308 passengers. According to this calculation, at the beginning, it will be possible to transport about half a million passengers per day. One of the six coaches on each train will be reserved for women. However, other coaches of the train will also allow men and women to travel together. MRT Line-6 was initially planned to reach Motijheel, but later it was extended by 1.16 km to reach Kamalapur Railway Station. Though, physical work for the extension of Motijheel to Kamalapur section has not started yet, the preparatory works for this extension is ongoing in full swing. In addition to MRT Line-6, 3 other Metro Rail routes (MRT Line-1, MRT Line-4 & MRT Line-2) will also have stations adjacent to the Kamalapur Railway Station. Once completed Kamalapur Railway Station will transform into a modern transit hub. Even though, initially, the timeframe to complete the MRT Line-6 project up to Motijheel was set for 2024, Bangladesh Government is keen to complete the project ahead of that target. If the current pace of work remains unchanged, hopefully, the people of Dhaka will get the much awaited MRT Line-6 by December 2023. Minister Obaidul Quader said