Quader urges re-evaluation of 15pc VAT on Metro Rail


Staff Reporter :

Obaidul Quader, the Road Transport and Bridges Minister, has called for a reconsideration of the recent decision by the National Board of Revenue (NBR) to impose a 15% Value Added Tax (VAT) on metro rail services in Dhaka.

Speaking at a branding seminar on Dhaka Metro Rail, Quader described the VAT imposition as a misstep and urged Prime Minister Sheikh Hasina to review this decision.


Quader emphasized that neighboring countries have not imposed VAT on metro rail services, raising concerns that the tax could make metro rail less affordable and attractive as a transportation option in Dhaka.

In addition to discussing the VAT issue, the seminar also highlighted plans for the expansion of Dhaka’s Mass Rapid Transit (MRT) system. MAN Siddique, the managing director of Dhaka Mass Transit Company Ltd (DMTCL), presented plans for a 7.5-kilometer extension of MRT Line-6 from Uttara to Tongi. This extension aims to serve 415,000 residents in the area, improving connectivity and alleviating traffic congestion.

The developments underscore ongoing efforts to enhance Dhaka’s transportation infrastructure and contribute to urban livability and economic progress.