The Asian Development Bank (ADB) and the Government of Bangladesh signed on 20 June 2025 a loan agreement to upgrade the Second South Asia Subregional Economic Cooperation (SASEC) Dhaka-Northwest Corridor Road Project.

The agreement is for a $204 million loan, which is the fourth tranche of a $1.2 billion multitranche assistance for the international trade corridor. The agreement was signed by Mr. Md Shahriar Kader Siddiky, secretary, Economic Relations Division (ERD), Government of Bangladesh, and Mr. Hoe Yun Jeong, country director, ADB.

The loan will support the widening to four lanes of a 190-kilometer segment of the corridor from Elenga through Hatikumrul to Rangpur, which will improve subregional connectivity with Bhutan, India, and Nepal.

"This project supports Bangladesh's commitment to modernize the road transport system and improve subregional connectivity and trade," Mr. Jeong said. "The project will help accelerate economic development of the area along the corridor, and facilitate subregional trade with Bhutan, Nepal, and India... It will also help reduce vehicle operating cost, travel time, vehicle emissions, accidents, and congestion along the Dhaka-Northwest road corridor."

• ADB to provide $204m to expand Dhaka-Northwest trade corridor
• ADB commits over $1.3bn to transform Bangladesh's development landscape