Railway lineman Billal Hossain Mazumder, 50, put his life on the line last month by dragging 34-year-old Mohammad Mamun out of harm's way as a train approached.
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"I hoisted the red flag to signal the driver to stop the train, but within an instance, I realised it would be too late," Mazumder said.
"I knew I might die but I also knew if I didn't try to save him, a young stranger's face would haunt me for the rest of my life," Mazumder told AFP.
CCTV Footage of the entire incident went viral on social media with hundreds of Bangladeshis, many from abroad, applauding Mazumder for his heroic act.
The father of four, who earns less than $100 a month, said he did not have time to consider his own welfare when he jumped on the tracks to save Mamun.
"I would do it again... life is precious. No one should commit suicide even in the face of unbearable pain," said Mazumder.
Bangladesh's railway minister Mujibul Haque called Mazumder a "hero" at a ceremony in Dhaka and rewarded him with a 100,000 taka ($1,250) in cash for his gallantry.
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"He has set an example for mankind and made us truly proud," the minister said, assuring Mazumder that his son would be given a job at the railway department.
Railway accidents are common in Bangladesh where some 40 percent of around 2,500 rail crossings are unmanned and exposed to fatal accidents.
In the last six years 152 people were killed in railway accidents. In addition, scores of people, mostly drug addicts, chose railway tracks to take their own lives.
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