BR Revenue Rises by Tk 221 Crore Without Fare Hike

Despite passenger fares remaining unchanged over the past 10 years, Bangladesh Railway (BR)'s revenue earning increased by TK 221 crore in the 2025–26 fiscal year compared to the previous year. 

At the same time, the gap between revenue and expenditure narrowed, indicating positive progress in the railway's financial management.

According to BR, the organization earned a total of TK 2,066.38 crore in the 2025–26 fiscal year, up from TK 1,845 crore in 2024–25. This increase of TK 221 crore was achieved through various initiatives and improved management despite numerous challenges.

The largest increase in revenue came from passenger transport, which generated an additional TK 256 crore compared to the previous fiscal year. However, revenue from freight transport declined by TK 8.34 crore due to a shortage of locomotives. In addition, income from land and property increased by TK 3 crore, while revenue from optical fibre leasing rose by TK 11.52 crore.

On the other hand, revenue from the transport and commercial sector (including vending licenses and miscellaneous income) declined by approximately TK 24.34 lakh.

During the 2025–26 fiscal year, BRs total operating expenditure—including salaries and allowances, pensions, railway track maintenance, and rolling stock maintenance—amounted to TK  3,955 crore. As a result, the operating ratio (expenditure-to-revenue ratio) improved to 1.91, compared with 2.09 in the previous fiscal year. This means the gap between the railway's income and expenditure has narrowed.

According to railway sources, around TK 1,000 crore is spent annually on pensions, which is included in operating expenses, making the actual financial picture somewhat different. 

Excluding pension expenses, operating expenditure would stand at TK 2,955 crore, and the operating ratio would fall to 1.43. In that case, expenditure would be only 43 percent higher than revenue.

As Bangladesh Railway is a state-owned public transport service, fares have been kept at subsidized levels in the public interest. Railway fares have not been increased since 2016. During this period, however, the costs of maintenance materials, imported spare parts, the exchange rate of the U.S. dollar, employee salaries and benefits, pensions, and fuel have all risen significantly.

According to railway officials, considering the current economic realities, if railway fares are revised rationally in line with those of other public transport services, the gap between revenue and expenditure could be reduced even further. Therefore, they argue that it is not realistic to evaluate Bangladesh Railway solely as a loss-making organization.