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Home News Funding for Nepal highway project

Funding for Nepal highway project

Funding is being provided for Nepal’s East-West Highway project

by Mike Woof
January 5, 2026
in News
Reading Time: 1 min read
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Improving Nepal’s East-West Highway will deliver economic benefits to capital Kathmandu as well as the rest of the nations – image courtesy of © Hugoht| Dreamstime.com

Improving Nepal’s East-West Highway will deliver economic benefits to capital Kathmandu as well as the rest of the nations – image courtesy of © Hugoht| Dreamstime.com

Improvements are being carried out on six sections of Nepal’s important East-West Highway and the upgrades will meet Asian Highway standards. The project forms part of the South Asia Subregional Economic Cooperation (SASEC) programme.

Funding from the Asian Development Bank is helping to pay for part of Nepal’s East-West Asian Highway upgrade project. The World Bank is funding work on other sections of the route. The Nepalese Government is also providing some funding.

The work is around 25% complete and is being managed by Nepal’s Ministry for Energy, Water Resources and Irrigation, Physical Infrastructure and Transport, and Urban Development. Once complete, the project will improve transport for Nepalese citizens as well as helping to boost trade and transport with its neighbours.

Meanwhile, construction work is now being carried out for a 420m bridge spanning the Narayani River in Chitwan. The project is around 18 months behind schedule with delays in design approvals having held back the construction work. When it is complete, the bridge will allow a 10m clearance over the river and will feature two support towers that are 53m-high.

Categories: Finance & Funding
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