The Karnaphuli Tunnel, envisioned as a game-changer for transportation in Chattogram, is now grappling with serious financial challenges. Despite initial optimism, the tunnel’s income and traffic flow have fallen significantly short of expectations, raising concerns about its long-term sustainability.
Revenue vs. Operating Costs
The tunnel generates an average of 10.37 lakh BDT daily. However, operational expenses stand at a steep 34.7 lakh BDT per day, resulting in a daily deficit of 24.33 lakh BDT. This gap threatens the project’s financial stability, as it fails to cover even basic operating costs, let alone loan repayments.
Lower-Than-Expected Traffic
Planners anticipated high vehicle flow through the tunnel, but only one-third of the expected number of vehicles is currently using it. This underperformance in traffic volume has dealt a major blow to revenue projections, making it challenging for the tunnel to become self-sustaining.
Reliance on Public Funds
With operational losses piling up, the project is heavily dependent on government support for maintenance and loan servicing. The reliance on state funds adds pressure on the national budget, raising questions about whether the tunnel can justify its investment without significant improvements.
Lack of Economic Impact
A key objective of the tunnel was to stimulate industrial growth on both sides of the Karnaphuli River. However, the lack of rapid industrial development has limited its utility. Without a surge in trade and business activities, the tunnel struggles to attract sufficient traffic to meet financial goals.
The Karnaphuli Tunnel, which was designed to drive economic growth, now risks becoming a liability unless steps are taken to boost traffic, increase revenue, and support industrial expansion around the project. Immediate solutions are needed to avoid further financial strain and turn the project into a viable infrastructure investment for the future.
