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Abstract. Agricultural mechanization in southern delta of Bangladesh is lagging behind in comparison to rest of the country due to soil salinity, natural disaster like cyclone, tidal surge etc. Introduction of mechanical rice transplanting in this region is necessary for reducing labor, time and cost ofcrop production, thereby increasing cropping intensity and yield. Field experiments were conducted by the Feed the Future and USAID, USA sponsored project “Appropriate Scale Mechanization Innovation Hub (ASMIH)-Bangladesh” during 2017 to 2019 in Aman and Boro seasons at Dumuria, Wazirpur, Subarnachar and Kalapara Upazilas of Khulna, Barishal, Noakhali and Patuakhali districts, respectively located in the southern delta of Bangladesh. The mechanical rice transplanter was found technically suitable in the above mentioned areas. Custom hiring service provision of mechanical rice transplanter to farmers was identified as one of the viable options. However, financial viability of the provision needs to be assessed. At this end, FAO developed RuralInvest tool was used. The RuralInvest is a financial decision making software developed by FAO to assess the sustainability of rural invest projects. The duration of the custom hiring service project was considered 6 years with farmer‘s own investment, where the direct beneficiarywas1 entrepreneur family and indirect beneficiaries were 40 farm families. The annual inflation rate was considered as 6%.The result showed that the internal rate of return (IRR), net present value (NPV) and payback period of rice transplanter custom hiring service provision were 34.20%, USD 6071 and 2.47 years, respectively. The NPV indicates that custom hiring service provider of the machine can havepositive return and the project is said financially viable because IRR (34.2%) of rice transplanter custom hiring service provision was greater than the bank interest rate (9%). Therefore, the rice transplanter custom hiring service provision would have been a viable and sustainable business propositionfor the existing and potential custom hiring service providers in the southern delta of Bangladesh.