BRAC Bank launches Torongo to finance commercial vessels
BRAC Bank has introduced a specialised financing solution for Bangladesh's river transport and maritime logistics sector, amid rising demand for modern vessels, which is creating new opportunities for corporate lending.
The bank has rolled out "Torongo", a targeted financing product to support commercial vessel owners and maritime entrepreneurs.
Bangladesh's inland waterway network spans more than 3,800 kilometres and remains integral to the nation's trade and supply chain.
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Rivers carry a substantial share of Bangladesh's domestic cargo, including agricultural produce, construction materials, fuel and industrial goods.
River transport offers significant cost advantages over road and rail.
World Bank data show that moving one tonne of cargo per kilometre costs around Tk4.50 by road, Tk2.74 by rail, and less than Tk1 by river.
This cost differential has positioned waterways as a vital link between inland districts and the seaports of Chattogram and Mongla.
Industry sources estimate that more than 100,000 commercial vessels operate on Bangladesh's rivers, including cargo ships, oil tankers, fishing trawlers, barges, dredgers, lighterage ships and tugboats.
Nearly 80% of the country's fuel is transported via waterways.
The government has accelerated dredging and waterway modernisation projects to reduce logistics costs and ease pressure on highways.
As trade volumes increase, the demand for safer, larger and more efficient vessels is rising sharply.
This trend is creating significant opportunities for banks to provide structured financing for vessel construction, purchase, repair and maintenance.
Recognising this demand, BRAC Bank has launched "Torongo" to meet the financing needs of commercial vessel owners and maritime operators.
Clients can access up to Tk25 crore in financing for building new vessels, purchasing new or reconditioned ships, ownership transfers and maintenance.
The loan tenure is up to eight years.
The bank will focus on key river port regions such as Chattogram, Narayanganj, Barishal and Brahmanbaria, prioritising established vessel owners and operators.
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 noted that many operators had previously relied on informal, high-cost funding sources due to a lack of dedicated banking support.
"Our rivers are a strategic economic asset. By supporting this sector, we are helping to build a more efficient, cost-effective and sustainable logistics system. This initiative also reflects our continued commitment to strengthening the SME sector and promoting inclusive economic growth," he said.
