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.
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.
“Our rivers are a strategic economic asset. By supporting this sector, we are contributing to a logistics system that is more efficient, cost-effective, and sustainable. This initiative also reflects our continued commitment to strengthening the SME sector and promoting inclusive economic growth,” he said.