Explainer: What gaps are delaying Dhaka airport’s 3rd terminal launch?
Delays have already pushed the opening target to December 2025, with 99.88% of construction complete
Photo: Jica
The chances of inaugurating the much-awaited third terminal of Dhaka airport during the interim government's tenure are gradually shrinking. The Civil Aviation Authority of Bangladesh (Caab) and the Japanese consortium, selected to operate the terminal, have yet to reach an agreement on key management and financial issues.
Despite months of negotiations, talks remain unresolved and have now escalated to the government-to-government level.
Here is where the gap lies:
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- Caab has rejected the Japanese consortium's proposed revenue-sharing model, citing financial viability concerns.
- The consortium insists that Bangladesh's revenue assessment is based on Indian benchmarks, which do not match the advanced design and technology of the new terminal.
- A major point of contention is Caab's reluctance to share earnings from the passenger safety fee and the airport development fee, two of the most profitable revenue streams.
- The consortium argues that without these, operating expenses cannot be balanced through secondary income sources like royalties from ground handling, boarding bridges or commercial shops.
- Under the proposed arrangement, Biman Bangladesh Airlines would handle ground services for two years under the consortium's supervision.
- Caab officials say the consortium's expected profit margin remains unclear, making the model uncertain for Bangladesh's interests.
- Talks ended without agreement in September, though both sides say discussions are ongoing.
- Delays have already pushed the opening target to December 2025, with 99.88% of construction complete.
- Expired equipment warranties now raise the risk of financial losses if operations are further delayed.
- Once operational, the terminal will triple passenger capacity to 20 million annually and double cargo handling capability.
The third terminal's launch remains stuck in financial disputes, leaving its future opening date uncertain.
