Embassy of Japan in Nepal


September 5, 2007
Japanese Grant for the Detailed Design Study for the Improvement of Kathmandu-Bhaktapur Road

The Government of Japan has decided to extend a grant up to forty - eight million Japanese Yen (48,000,000), approximately twenty-seven million two hundred and sixteen thousand Nepalese Rupees (NRs.27,216,000), or equivalent to four hundred and fourteen thousand US Dollars (US$414,000), to the Government of Nepal for the Project for the Improvement of Kathmandu - Bhaktapur Road in Japan's FY 2007.

His Excellency, Mr. Tsutomu HIRAOKA, Ambassador of Japan to Nepal, and Mr. Vidyadhar Mallik, Secretary of the Ministry of Finance, the Government of Nepal, signed and exchanged Notes today on behalf of their respective governments.

The Grant extended to the Government of Nepal is intended to be used to procure the services necessary for the Detailed Design Study of the Project.

The Detailed Design Study will be carried out to upgrade about 9.1km of the Kathmandu - Bhaktapur Road section of the Araniko Highway by expanding the existing two-lane road to four-lanes. The Kathmandu - Bhaktapur Road will be designed in such a way that it will serve as not only as a road to ensure consistent transportation of goods and people between Kathmandu and Bhaktapur, but also to play an important role linking Kathmandu Valley with the Eastern Terai via the Sindhuli Road, which connects Banepa - Sindhuli - Bardibas. The SIndhuli Road is now under construction with Grant Assistance of the Government of Japan. It is already benefiting several million people residing along the completed section of the road. Once fully completed, it will benefit greatly the people of the Kathmandu Valley. Together with this, this Kathmandu - Bhaktapur Road section will also improve the connection of the Kathmandu Valley with the North via the Araniko Highway.

It is expected that the Kathmandu - Bhaktapur Road, for which the Detailed Design Study are conducted, will help save time and reduce fuel expenses considerably for road users, who are currently facing very congested traffic situation, especially during rush hours. The Study will take into consideration advanced traffic engineering so as to help protect ordinary citizens from accidents and health hazards. It is expected that the road to be proposed by the Detailed Design Study will bring a positive impact to the Nepalese economy thus contributing to the poverty alleviation efforts of the Government of Nepal. It will also improve access to health and education institutions for the residents along the road.

On the occasion, H.E. Mr. Hiraoka expressed his hope that this assistant will prove to be yet another milestone in further strengthening the friendly relations between Japan and Nepal.



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