The World Bank on Tuesday approved a $500 million loan to help improve road connectivity along the Jashore-Jhenaidah corridor covering four western districts in Bangladesh.
The Western Economic Corridor and Regional Enhancement (WeCARE) Phase-I project is the first of a multi-phased $1.4 billion World Bank programme to upgrade the existing 110km two-lane highway – Bhomra-Satkhira-Navaron and Jahore-Jhenaidah – to a safer and climate-resilient four-lane highway.
The credit from the World Bank’s International Development Association (IDA), which provides concessional financing, has a 34-year term, including a four-year grace period.
It will support the government’s plan of developing a 260km economic corridor in the western part and benefit over 20 million people, according to a WB press release.
The first phase of the programme will upgrade 48km of the N7 highway between Jashore and Jhenaidah and improve about 600km connecting rural roads and 32 rural markets/growth centres to stimulate the local economy.
For improved road safety, the highway will have additional lanes for slow-moving vehicles and a median safety barrier to separate oncoming traffic.
“The western region of Bangladesh is endowed with many agricultural and natural products and holds great potential of becoming a gateway for regional and international trade,” World Bank Country Director for Bangladesh and Bhutan Mercy Tembon said.
Tembon said that this project will unlock the region’s potential by stimulating the economy of districts, linking farms to markets, connecting Dhaka with the western region as well as with neighbouring countries, thus enhancing trade, transit and logistics along the corridor.
To help the country realize the ‘Digital Bangladesh’ vision, the project will install fiber optic cables along the highway to provide reliable and affordable internet access, which will be critical for emergency responses and business continuities in crises similar to the COVID-19 pandemic.