Bangladesh has given preliminary approval to a private-sector investment project to build an integrated shipbuilding and ship repair complex at the Matarbari deep-water port, which is currently under construction. The total investment for the project is $1 billion.
The proposed investor is Australia’s AIS Marine Investments, with China Harbour Engineering Company (CHEC) serving as the project’s technical partner.
The Ministry of Shipping of Bangladesh has approved the “Matarbari Green Dockyard and Shipbuilding Project” in principle and has forwarded the unsolicited investment proposal to the country’s Public-Private Partnership Authority for technical and financial evaluation.
According to reports, the “Matarbari Green Dockyard and Shipbuilding Project” covers an area of approximately 200 acres, with land ownership held by the Chattogram Port Authority. The project is set to adopt an “owner-led model,” under which the port retains ownership of the land and fixed assets, while all facilities funded and constructed by private investors will revert to the Government of Bangladesh at no cost upon the expiration of the concession period.
Earlier this year, following an inter-agency meeting, Bangladesh’s Ministry of Industries issued a “No Objection Certificate,” noting that the project would be entirely funded by private capital and would not add to the national debt burden.
If the project successfully clears the remaining approval stages, it is expected to generate between 1,200 and 1,300 direct jobs and approximately 2,600 indirect jobs. Specific details regarding the construction timeline or the concession period have not yet been disclosed.