ADB Approves $305.75 Million to Upgrade Nepal's Highways
The Asian Development Bank (ADB) has agreed to provide $305.75 million (about Rs 47 billion) to upgrade Nepal's East-West, Prithvi, and Karnali highways. The package includes a $285 million loan, a $20 million grant, and $750,000 in technical assistance. Key components include expanding the Narayanghat-Hetaunda and Mugling-Ambukhaireni sections, and constructing a wildlife-friendly viaduct in Tikauli forest.
KATHMANDU, Oct 11 – The Asian Development Bank (ADB) has agreed to provide financial assistance worth $305.75 million (about Rs 47 billion) to upgrade Nepal's East-West Highway, Prithvi Highway, and Karnali Highway.
The approved package includes a $285 million loan from ADB's ordinary capital resources, a $20 million grant from the Asian Development Fund's thematic fund on regional cooperation and integration, and $750,000 in technical assistance from an ADB special fund.
Of the total, $245 million will be spent on expanding the Narayanghat-Hetaunda road section and $30 million on the Mugling-Ambukhaireni section, while the remaining $10 million will improve the Karnali Highway. A total of $20 million from the grant will be used to construct a viaduct in Tikauli forest under the Narayanghat-Hetaunda section.
Arnaud Cauchois, ADB's Country Director for Nepal, said the project will revitalize one of Nepal's important transport routes. According to him, it will improve transport links for the general public, businesses, and the tourism sector, as well as help restore wildlife movement routes.
"By combining resilient infrastructure with wildlife-friendly structures, this project demonstrates how investments in transport infrastructure can help improve connectivity, support biodiversity conservation, promote sustainable development and achieve inclusive economic growth," Cauchois said.
Out of the three projects to be operated through ADB's concessional loan, a contract has been called for upgrading about 70 km of the Narayangadh-Hetauda section of the East-West Highway under the South Asia Subregional Economic Cooperation (SASEC) Highway Improvement scheme. The project plans to expand the road from two lanes to four lanes.
According to the Road Department Project Directorate of ADB, the contract has been divided into three packages for the section from Rapti Bridge in Hetauda to Gondrang in Bharpur, Chitwan:
- Package 1: 40 km within Makwanpur district
- Package 2: 26 km from Makwanpur border to Tikauli in Chitwan
- Package 3: 4 km from Tikauli to Gondrang
A 2 km long viaduct will be constructed in Tikauli forest, expanding the road to four lanes as per Asian Highway standards. The viaduct is estimated to cost around Rs 4 billion, of which $20 million will be provided by ADB.
This is Nepal's only biological corridor connecting the southern Chure range and the northern Mahabharata range. The region extends into India's Valmiki Tiger Reserve, joining Chitwan National Park.
Wildlife crossing the road at high speeds poses accident risks. The viaduct is proposed to prevent collisions between vehicles and wildlife: vehicles will drive over it while wildlife crosses underneath.
There are plans to build 67 pillars on the two-kilometer viaduct, spaced 30 meters apart, allowing wild animals to cross easily between them.
Meanwhile, the Mugling-Pokhara road is about 90 km long. Extension work is underway on the Ambukhaireni-Jamune section (41.45 km) and the Jamune-Pokhara section (38.88 km). Along with the expansion of the Ambukhaireni-Pokhara section, ADB's road directorate planned to expand Mugling-Ambukhaireni as well. However, the area is full of geographical and structural complexity, according to ADB.
ADB's support is expected to help develop the road network, regional trade, road safety, and infrastructure resilient to disasters and climate change. In addition, ADB said it will contribute to the protection of wildlife habitats.