India has suspended funding and construction activities for railway projects in Bangladesh worth nearly ₹50 billion, according to a report by the Hindustan Times published on 20 April.
The decision, reportedly based on concerns over worker safety and political instability in Bangladesh, has stalled a significant component of India’s cross-border infrastructure ambitions.
The projects in question were integral to India’s broader strategy to connect its landlocked northeastern states to the mainland via Bangladeshi territory, thereby reducing dependence on the narrow Siliguri Corridor—commonly referred to as the ‘Chicken’s Neck’—which serves as the sole land link between the region and the rest of India.
According to several sources familiar with the matter, the suspension has disrupted India’s plans to establish seamless railway connectivity through Bangladesh to the so-called "Seven Sisters" states of the Northeast. Construction on three ongoing projects has been brought to a standstill, while survey work at five additional sites has also been halted.
The move underscores growing regional challenges in cross-border collaboration, with political uncertainty in Dhaka casting a shadow over major bilateral infrastructure efforts.
