The government has approved a proposal to expand the Bangladesh Shishu Hospital and Institute at a cost of Tk13,100 per square foot, calling it part of “high-cost” infrastructure development.
The approval came at a meeting of the Executive Committee of the National Economic Council (ECNEC) chaired by Prime Minister Tarique Rahman on Tuesday. The project was among 10 development schemes cleared at the meeting.
The “Bangladesh Shishu Hospital and Institute Expansion Project-2” has a total estimated cost over Tk344.1 crore. Once completed, it will add 100 beds and six cabins to the hospital.
Under the project, a four-storey building will be extended up to nine storeys. The extension work will cost over Tk62.99 crore. The total built-up area of the expanded structure will be 4,461.17 square metres.
Earlier, a proposal estimated the same 4,461.17 square metres at Tk89.3 crore. However, the Project Evaluation Committee (PEC) found the cost excessive and recommended reassessment. At that stage, the estimated cost stood at around Tk2 lakh per square metre and nearly Tk19,000 per square foot.
The revised estimate later reduced the cost to Tk59,000 per square metre, or about Tk 5,500 per square foot.
The expanded facility will include specialised services such as paediatric urology, kidney transplant, paediatric surgical oncology, paediatric orthopaedic surgery, paediatric cardiology, cath lab, cardiac beds, ICU, operating theatres and post-operative wards.
Genex Properties Ltd director Zakir Hossain told TIMES of Bangladesh that excluding land cost, piling and construction typically cost Tk2,500 to Tk4,000 per square foot depending on building quality. He said the cost drops to Tk2,000 to Tk3,500 per square foot if piling is not required.
After being informed of the Tk13,100 per square foot estimate for the hospital, he said it appeared “very high”.
Architect Omar Faruk, who is involved in the housing sector, also told TIMES that hospital construction may cost more than residential buildings due to equipment and facilities.
However, he said such a high cost still has no clear justification.
Comparisons with other government projects also show significantly lower costs. A proposal to construct a 21-storey building replacing Secretariat Building No. 1 was estimated at Tk52,704 per square metre, which is below Tk5,000 per square foot, including land development and piling.
Other public hospital projects also show lower costs. In 2024, a project to upgrade and construct maternal and child welfare centres in 51 district municipalities, Shibchar upazila in Madaripur and 11 city corporations estimated construction cost at Tk6,654 per square foot, excluding furniture and lifts. The Planning Commission raised objections at that time.
Another project for vertical expansion of a clinic building in Gazipur was estimated at Tk4,256 per square foot, which also faced objections from the commission.
ECNEC also approved nine other projects worth Tk3,890.97 crore in total, according to a Planning Commission statement. Five of these are new projects.
Among them, Tk282.77 crore will be spent on maintenance and rehabilitation of the Barishal Irrigation Project. Tk1,409.20 crore is allocated for construction of integrated upazila land complexes. Over Tk215.36 crore will go to constructing the Mymensingh City Corporation City Bhaban.
Another Tk1,183.67 crore 67 lakh 21 thousand will be spent on upgrading and widening the Anwara Kalabibir Dighi–Chakaria Eidmoni road in Chattogram and Cox’s Bazar.
A further Tk40.20 crore has been allocated for installing lifts in circuit houses across 33 districts and at the Thakurgaon Deputy Commissioner’s office.
Among revised projects, costs increased in four schemes, while one saw an extension of its timeline.
The cost of the Dhaka CMH Cancer Centre construction project increased from Tk246 crore to over Tk411.63 crore, an additional Tk165.63 crore.
The Madrasah Education Management and Information System (MEMIS) support project saw a fourth revision, increasing by Tk20.86 crore. Initially approved in 2017 at Tk10.12 crore, its total cost now stands at over Tk58.94 crore.
The ongoing grid substation and transmission line capacity expansion project, taken in 2021, saw a cost increase of Tk269.44 crore. Its original cost was Tk774.86 crore, which now stands at Tk1,044.30 crore.
The project to install multimedia classrooms in 653 madrasas saw only a time extension.
ECNEC was also informed about six additional projects with costs below Tk50 crore.
