Bangladesh and China Sign Major Maritime Agreement
On February 8, 2026, Bangladesh and China formalized a significant framework agreement valued at RMB1.67 billion (approximately Tk2,486.31 crore) to enhance the maritime transport capacity of the Bangladesh Shipping Corporation (BSC). The agreement was signed by Md Shahriar Kader Siddiky, Secretary of the Economic Relations Division (ERD), and Yao Wen, the Chinese Ambassador to Bangladesh. This collaboration aims to bolster energy security and improve the efficiency of maritime operations in Bangladesh.
The signing ceremony marks a pivotal step in strengthening bilateral relations between the two nations. Following this framework agreement, officials indicated that a detailed loan agreement will be finalized shortly. This financial arrangement is expected to facilitate the procurement of four new vessels, which include two crude oil mother tankers and two mother bulk carriers. These acquisitions are designed to enhance BSC’s capacity to transport crude oil and essential bulk commodities, thereby reducing the country’s reliance on foreign-chartered vessels.
Bangladesh Signs Agreement with China for Vessel Procurement
Financial Details and Future Implications
The project is backed by concessional financing from China, featuring an interest rate of 2% and a repayment period of 20 years, which includes a five-year grace period. This favorable financing structure is anticipated to support long-term national development goals. Officials have expressed optimism that the new vessels will significantly improve Bangladesh’s shipping capacity and strengthen the energy supply chain in the coming years.
The procurement of these vessels is not only a strategic move to enhance BSC’s operational capabilities but also a crucial step towards achieving self-sufficiency in maritime transport. By investing in its own fleet, Bangladesh aims to mitigate the risks associated with fluctuating global shipping costs and ensure a more stable supply of essential goods and energy resources.
As the agreement progresses, the focus will remain on the timely execution of the detailed loan agreement and the subsequent procurement process. The successful implementation of this project is expected to have far-reaching implications for Bangladesh’s economy, particularly in terms of enhancing trade efficiency and ensuring energy security for the nation.
