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Comprehensive Analysis of Promising Infrastructure Projects in Bangladesh

Overview of Promising Infrastructure Projects

Under its 8th Five Year Plan (2021-2025), Bangladesh aims to raise infrastructure investment from 2% of GDP to 5%. Annual infrastructure spending is estimated at roughly $20-25B, distributed across power and energy (35%), transport (30%), urban development (20%), and water resources (15%). Multilateral development banks such as ADB, the World Bank, and JICA, along with bilateral ODA, remain the primary funding sources, while PPP structures are being expanded to attract more private capital.

From 2024 to 2028, projects with realistic participation potential for Korean companies are estimated at more than $15B. Priority areas include CCPP, nuclear power, and renewable energy in the power sector; railways, expressways, and metro systems in transport; new towns and smart cities in urban development; and wastewater treatment and flood management in water resources. Korea holds competitive strengths in power generation and transport systems and has also maintained a solid track record in ADB and World Bank ICB tenders.

$20-25B
Infrastructure Investment
Annual
$15B+
Opportunity Size
2024-2028
35%
Power
CCPP, nuclear, solar
30%
Transport
Rail, expressway, metro
20%
Urban Development
New towns, smart cities
15%
Water Resources
Wastewater, flood control
$8B+
MDB Financing
ADB, WB, JICA
$3B+
PPP
Expanding public-private deals

Promising Projects in Power and Energy

Bangladesh's power demand is increasing by roughly 8-10% per year, and the country is targeting 40,000MW of generation capacity by 2030. As of 2023, installed capacity stood at around 25,000MW, but effective utilization was only 60-65%, leaving actual operating output at about 15,000-16,000MW. High-potential projects in this sector include a second-phase CCPP project ($200M), Rooppur Nuclear Power Plant Unit 2 ($3B+), 1,000MW of solar projects ($700M), and two LNG terminals ($400M).

Promising Infrastructure Projects by Sector (2024-2028)
SectorProjectScale ($M)FundingTimingKorean Relevance
PowerCCPP Phase 2 (800MW)200ADB2024-25Company A bidding
PowerRooppur Nuclear Unit 23,000+Russian creditOngoingEquipment exports
Power1,000MW Solar Program700GCF, ADB2024-28Company D execution record
TransportDhaka Metro Line 22,700JICA2025-30Korean participation under review
TransportDhaka-Chittagong Expressway4,500ADB, WB2025-30JV formation
UrbanBangabandhu New City1,500PPP2024-30Linked to BSMSN
WaterDhaka Wastewater Treatment (6 sites)500ADB, WB2024-28EPC tender
Total13,100+

Transport and Urban Development Projects

Transport Infrastructure Projects
Dhaka Metro6 lines, $15B - Line 1 already operating
Rail ModernizationBroad-gauge conversion, $5B+ - led by BR
ExpresswaysDhaka-Chittagong $4.5B - ADB and WB-backed
Airport ExpansionHazrat Shahjalal $2B - JICA-backed
Urban Development Projects
Bangabandhu New City$1.5B - BSMSN master plan
Dhaka Capital RelocationLong-term review - new administrative capital
Smart Cities3 sites - possible K-City linkage
One Million Homes$8B - affordable housing supply

The most closely watched transport project is the Dhaka Metro program. With six lines (MRT 1-6) and a total estimated scale of $15B, it represents the country's flagship urban mobility investment; MRT Line 6 entered service in 2022. MRT Line 1, including the airport corridor, is under construction with JICA funding, creating clear export potential for Korean rolling stock and signaling systems. The Dhaka-Chittagong Expressway, valued at $4.5B, is one of the largest transport projects in Bangladesh and is expected to produce major ICB opportunities supported by ADB and the World Bank, making JV participation by Korean construction firms a realistic option. In urban development, the $1.5B Bangabandhu New City project is being advanced under the BSMSN master plan and could benefit from Korea's experience in Sejong and other new-town developments.

Participation Strategy and Risk Management

01
Power Sector: EPC Plus Equipment Packages
Phase 2 CCPP ($200M) and the solar program ($700M) are core targets for Korean firms. Competitiveness improves when EPC proposals are bundled with gas turbines, solar modules, inverters, and related equipment. At Rooppur, Rosatom remains the main contractor, but more than $200M in opportunities may still exist for Korean auxiliary systems, piping, and electrical equipment.
02
Transport Sector: Metro and Railway System Exports
Exporting Korean rail technology, including rolling stock, signaling, and communications systems, to Dhaka Metro Lines 2-5 ($10B+) is a promising strategy. In JICA-funded projects, Korean firms may participate through JVs with Japanese partners or as subcontractors, while Korean rolling stock suppliers already have a credible export record. Expressway EPC packages may also be pursued directly through ADB and World Bank ICB tenders.
03
Urban Development: Exporting the K-City Model
For Bangabandhu New City and smart city projects, Korea can package its urban development experience from Sejong and Songdo as a K-City model. A four-stage approach is effective: master planning and consulting, infrastructure design and EPC, smart city ICT systems, and finally operations and maintenance. Discussions with BSMSN are reportedly moving toward practical cooperation.
04
Risk Mitigation Measures
The main risks in Bangladesh infrastructure projects are delayed payments due to foreign exchange shortages, political uncertainty during government transitions, land acquisition delays, and lengthy environmental approval processes. MDB-funded projects offer relatively lower payment risk because of institutional backing, while local JV partners remain important for managing political and land-related exposure. KOTRA Dhaka's market and risk intelligence services can support project screening.
Participation Strategy for Promising Projects
Project Sourcing
ADB, WB, KOTRA
PQ and JV Setup
Select a local partner
ICB Tender
Technical plus price proposal
EPC Award
Engineering, procurement, construction
O&M Linkage
Long-term operating revenue
Bangladesh Procurement GuideReview procurement procedures and bidding strategy for infrastructure projects
BSMSN New City Development EIPPExplore the Bangabandhu new city development plan and Korean participation options

Promising infrastructure projects in Bangladesh represent more than $15B in opportunities during 2024-2028 and create substantial potential for Korean contractors, equipment suppliers, and system integrators. The core opportunity areas are power generation, transport infrastructure, urban development, and water management, with MDB-backed ICB tenders and PPP structures standing out as the most practical entry channels. A combined strategy built around EPC plus equipment packages, local JV structures, exportable K-City models, and long-term O&M contracts offers the strongest path to sustainable market participation while keeping project risk under control.

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Comprehensive Analysis of Promising Infrastructure Projects in Bangladesh | Dhaka Trade Portal