DHAKA : Bangladesh’s growing focus on river transport and maritime logistics is creating fresh opportunities for banks to finance commercial vessels, as demand rises for modern bulkheads, cargo ships, oil tankers, dredgers, and other water transport vehicles, according to a press release said.
With one of the world’s largest inland waterway networks
spanning more than 3,800 kilometres, waterways remain central to the country’s
trade and supply chain. From agricultural produce and construction materials to
fuel and industrial goods, rivers continue to carry a major share of domestic
cargo in Bangladesh.
The economics are compelling. According to World Bank
estimates, transporting one tonne of cargo per kilometre costs around Tk 4.50
by road and Tk 2.74 by rail, while river transport costs less than Tk 1. This
cost advantage has made waterways a critical transport channel linking inland
districts with the seaports of Chattogram and Mongla.
Industry insiders estimate that more than one lakh
commercial vessels operate across waterways in Bangladesh, including cargo
vessels, oil tankers, fishing trawlers, barges, dredgers, lighterage ships, and
tugboats. Nearly 80% of the country’s fuel transportation also takes place
through waterways.
To strengthen this sector, the government has accelerated
dredging and waterway modernisation projects aimed at reducing logistics costs
and easing pressure on highways. As trade volume grows, the demand for safer,
larger, and more efficient vessels is also increasing rapidly.
This shift is opening a major financing opportunity for
banks, particularly in structured lending for vessel construction, purchase,
repair, and maintenance.
Recognising this growing need, BRAC Bank has launched
‘Torongo’, a specialised financing solution for commercial vessel owners and
maritime entrepreneurs. Under the facility, customers can avail financing of up
to Tk 25 crore for building new vessels, purchasing new or reconditioned ships,
ownership transfer, and maintenance works. Loan tenure extends up to eight
years.
The bank plans to focus on key maritime and river-port
regions including Chattogram, Narayanganj, Barishal, and Brahmanbaria, with
priority given to experienced vessel owners and entrepreneurs with established
operations.
Commenting on the financing initiative, Syed Abdul Momen,
Additional Managing Director and Head of SME Banking at BRAC Bank, said:“For
years, the maritime sector has faced limited access to formal financing, which
slowed its growth despite strong potential. Through ‘Torongo’, we aim to bridge
that gap by providing structured and accessible financing solutions for vessel
owners and entrepreneurs.”
He added that many operators in the sector previously depended
on informal and high-cost funding sources due to the absence of dedicated
banking support.
