Following BRT tragedy, Bangladesh cancels Chinese firm's license for construction projects

Following a fatal accident, Bangladesh has decided to discontinue the license of a Chinese company that constructed the Bus Rapid Transit (BRT) Line-3 project, the Road Transport and Bridges Minister said on Sunday, according to a report by The Daily Star.

Addressing a press conference on Sunday, Obaidul Quader said that the firm will not be undertaking any other projects in Bangladesh after the accident which occurred on August 15, when four people died after a girder fell from a crane onto their vehicle in Uttara, Dhaka. According to the minister, the project by Chinese firm Gezhouba Group, which was 79% through at the time of the accident, was allowed to resume until completion in order to save time and resources.

"The decision was taken considering the asset and money of the country in mind because it would take several years if any new contractor is appointed for the work," Quader said. "They [the Chinese contractor will complete the remaining 20 per cent work. After that the contractor will not be allowed to work in Bangladesh anymore," he added.

China garners criticism for “debt-trap” diplomacy

Earlier in August, Bangladesh’s finance minister Mustafa Kamal spoke to the Financial Times and warned developing countries to be extra cautious when it comes to taking loans through China's Belt and Road Initiative. He further added that Beijing's “poor lending decisions” are causing economic distress to countries that are already in debt.

China, in the recent past, has been accused of “debt-trap” diplomacy for using its Belt Road Initiative in several countries through infrastructural projects and allegedly trapping them in debt, Portal Plus reported. While African countries owe a total debt of $145 billion to China, Pakistan is another testimony to the trap, and has secured a spot in the world's 10 largest borrowers list, as per a recent report by the World Bank.