Bangladesh and the Republic of Korea today formalized a grant agreement aimed at modernizing the operational efficiency and safety of Bangladesh Railway.

The two nations signed the Record of Discussion (RoD) and Terms of Reference (ToR) for a specialized project titled “Advanced Project of Rolling Stock Operation and Management in Bangladesh.”

According to a press release from the Economic Relations Division (ERD), the Republic of Korea’s Ministry of Land, Infrastructure and Transport (MOLIT) will provide a grant of USD 3.63 million (approximately BDT 45.12 crore) to implement the initiative.

The project is designed to bolster the transportation capacity of the national rail network through the integration of advanced management systems and infrastructure improvements.

The agreement was signed at the ERD headquarters in the capital. Mirana Mahrukh, Additional Secretary and Wing Chief (Asia, JEC, and F&F) of the ERD, represented the Government of Bangladesh, while Seok-gi Kim, Assistant Minister for Infrastructure Affairs of MOLIT, signed on behalf of the Republic of Korea.

The primary objective of the collaboration is to upgrade the technical capabilities of Bangladesh Railway, focusing on the sophisticated operation and management of rolling stock—which includes locomotives, freight wagons, and passenger coaches.

By leveraging Korean expertise, the project seeks to significantly reduce operational risks and ensure a safer, more reliable transit experience for passengers and cargo across the country.