Bangladesh is planning to construct a railroad to the Burmese border by 2014, at a cost of BDT18.52bn ($261m).
The proposed 128km rail line is expected provide a corridor for the planned 14,000km Trans-Asian Railway.
The country is also expected to use the Chittagong-Gongdoon rail track to connect with China through Burma.
Construction of the railroad, a single-track metre gauge, is scheduled to begin in July, according to narinjara.com.
The Trans-Asian Railway network is expected to link Bangladesh with South East Asian counties such as Thailand and Laos.