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DIPLOMACY, POLITICS, AND POLICY — UP CLOSE

Bangladesh Eyes Airbus After $3.7B Boeing Deal

- September 15, 2026, 04:54 PM ET

Bangladesh is seeking to buy more aircraft from European manufacturer Airbus, just months after signing an agreement to purchase 14 jets from U.S. manufacturer Boeing for about Tk 450 billion ($3.7 billion).

If both major procurement plans proceed, Biman Bangladesh Airlines would acquire 24 new aircraft from Boeing and Airbus — a major expansion for a carrier whose current fleet numbers about 19.

There are also plans to lease another 10 aircraft. That would bring substantial additional costs, along with the challenge of managing Biman’s overall business with integrity and transparency.

Critics say the real objective is less about the country’s needs than satisfying foreign interests and serving personal interests.

The scale of the expansion raises a broader question: does Biman commercially need so many aircraft, and would such a large investment deliver sufficient long-term returns for Bangladesh at a time when foreign currency, energy imports and public spending remain major economic concerns?

Civil Aviation and Tourism Minister M Rashiduzzaman Millat discussed the proposed Airbus purchase with British High Commissioner Sarah Cook at the Secretariat in Dhaka on Tuesday.

The meeting also covered Biman’s modernization, ground handling at Dhaka airport’s third terminal and efforts to strengthen Bangladesh-UK ties.

Millat said transparency and accountability would be ensured if Bangladesh proceeds with an Airbus purchase. The government would make its final decision based on recommendations from a high-level negotiation committee, he said.

Noting that Biman currently faces an aircraft shortage, the minister said new planes need to be added urgently.

But the immediate shortage and the long-term procurement plan are two different issues. The Boeing aircraft ordered this year are not expected to begin arriving until 2031, prompting consideration of leased aircraft in the meantime.

Meanwhile, negotiations with Airbus could create another major financial commitment extending well into the next decade.

14 Boeings, Then 10 Airbus Aircraft

Biman signed an agreement with Boeing on April 30 for 14 aircraft — the largest order in the national carrier’s history.

The package comprises eight Boeing 787-10 Dreamliners, two 787-9s and four 737-8 MAX aircraft, with deliveries scheduled between 2031 and 2035.

The agreement was valued at about $3.7 billion at list prices, equivalent to roughly Tk 450 billion at the exchange rate cited when the deal was announced. Aircraft transactions typically involve negotiated discounts from list prices, but the government has not publicly disclosed the price agreed under the Boeing deal.

Within weeks of the Boeing agreement, Airbus submitted a proposal to supply another 10 aircraft — four A350-900 widebody jets and six A321neo narrowbody planes.

The government subsequently indicated interest in purchasing all 10.

Millat said in July that an agreement with Airbus was expected by Aug. 31, with deliveries beginning in 2031. That deadline passed without a deal, but his latest comments confirm that the Airbus proposal remains under consideration.

Aircraft Purchases and Diplomacy

Diplomatic considerations have emerged unusually explicitly in the aircraft procurement process.

Before the Boeing agreement, Bangladesh had been considering Airbus aircraft. The previous Awami League government had moved toward purchasing 10 planes from the European manufacturer.

After the August 2024 political changeover, the proposal was reassessed. In January 2026, Biman decided in principle to acquire 14 Boeing aircraft following what officials described as a techno-financial evaluation.

The Boeing purchase also came as Bangladesh sought to narrow its roughly Tk 730 billion ($6 billion) trade deficit with the United States and reduce its exposure to potential U.S. tariffs.

Millat went further this month, publicly linking the Boeing acquisition to a request from U.S. President Donald Trump.

“Trump has asked one thing from our honourable prime minister, that is, ‘use our Boeings’. We are doing it; we are buying them,” Millat said on Sept. 1.

He also said Bangladesh would buy Airbus aircraft associated with European countries including France, Britain and Germany.

Those comments put greater focus on the commercial justification for the two purchases.

Aircraft acquisitions by national carriers often have diplomatic and trade implications. But Biman is also a commercial airline, and aircraft kept in its fleet for decades bring long-term financing, maintenance, staffing and foreign-currency obligations. The diplomatic circumstances surrounding a purchase, meanwhile, can change over time.

Does Biman Need 24 New Aircraft?

Whether Biman really needs 24 purchased aircraft in addition to planes it may lease before the new jets arrive remains a key question.

An expansion of that scale would normally require long-term projections of passenger demand, route profitability, aircraft utilization, financing costs, fuel prices, maintenance requirements and expected returns.

The government has not publicly presented a comprehensive business case explaining how Biman intends to commercially deploy the Boeing and Airbus aircraft, what passenger and revenue growth it projects, or how the purchases will be financed.

It has also not publicly disclosed the proposed Airbus price.

Those questions are particularly relevant when the Boeing order alone carries a headline value of about Tk 450 billion ($3.7 billion).

Economic Reality Raises the Stakes

Foreign currency remains a strategically important resource for an import-dependent economy like Bangladesh.

Bangladesh’s foreign-exchange reserves stood at about $31.6 billion at the end of July.

At the same time, the country continues to spend heavily on imported fuel and LNG, while energy subsidies put pressure on public finances.

The question is how strongly Biman’s own financial calculations support the scale of expansion now being contemplated.

Without publication of the underlying financial and route analysis, taxpayers have limited means to assess whether buying aircraft from both U.S. and European manufacturers represents the optimal commercial strategy or whether Bangladesh’s relationships with major trading partners are substantially influencing the procurement policy.

Cost of Operating Boeing and Airbus Fleets

Biman’s existing jet fleet is predominantly Boeing, including 787 Dreamliners, 777s and 737s. Adding Airbus A350s and A321neos would require the airline to support two major aircraft ecosystems.

Pilots require type-specific training and qualifications, while engineering, maintenance procedures, spare parts, technical expertise and some ground-support requirements also differ between aircraft families.

A much larger airline may be better positioned to absorb those additional costs across a broader fleet. For Biman, whether the advantages of diversification outweigh the loss of fleet commonality should form part of the financial assessment.

The government has not publicly presented such an assessment.

Boeing Deal Already Faces Transparency Questions

Calls for greater disclosure predate the latest Airbus discussions.

Earlier this month, a Supreme Court lawyer served a legal notice seeking details of the Boeing agreement, including its pricing, terms and procurement process.

The notice questioned the financial justification for the commitment and called for an independent feasibility and financial assessment.

Millat said Tuesday that transparency and accountability would be ensured in any aircraft procurement and that a high-level committee would assess the Airbus proposal before the government makes a decision.

EU Ambassador Michael Miller has also urged Bangladesh to make aircraft procurement decisions on “commercial merit” and ensure a level playing field for Airbus.

More Aircraft Could Be Leased in the Meantime

The long delivery schedule adds another financial consideration.

The first Boeing aircraft are not expected until 2031, while Biman says it needs additional capacity now. The government has therefore discussed leasing up to 10 aircraft to bridge the gap.

Biman could consequently be expanding through three channels simultaneously: leased aircraft in the short term, 14 purchased Boeing jets and potentially 10 purchased Airbus aircraft.

How those three components fit into a coordinated long-term fleet plan has yet to be fully explained publicly.

Transparency Pledge Faces a Bigger Test

Tuesday’s meeting with Cook also covered issues beyond aircraft procurement.

Millat sought UK support for removing the European Union’s high-risk cargo and mail designation on Bangladesh.

He said the designation, imposed in 2017, has increased the time and cost of transporting cargo. Airport security has since been strengthened, he said, adding that recent audits of Hazrat Shahjalal International Airport in Dhaka and Osmani International Airport in Sylhet produced satisfactory assessments.

The meeting also discussed UK-based Menzies Aviation’s interest in working with Biman on ground handling at Dhaka airport’s third terminal.

But the implications of the proposed Airbus purchase extend far beyond Tuesday’s diplomatic meeting.

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