More Indian locomotives for Bangladesh

BANGLADESH Railways (BR) has signed a $US 74m contract with Rites, India, for the supply of 16 1676mm-gauge diesel locomotives.

Deliveries will begin within 18 months. The deal forms part of a $US 1bn credit granted recently to Bangladesh by India, under which India will provide $52 million of the total cost of the purchase, leaving the Bangladeshi government to cover the balance.

In January, Bangladesh Railways also signed a $US 42m contract with Rites for an initial batch of 10 broad gauge locomotives.