Nepal highway project now moving forward again

The Nepalese Government is now moving forward with its plans for the Kathmandu-Tarai Fast Track highway project. The Indian firm Infrastructure Leasing & Financial Services (3148 IL&FS) has been awarded the contract to prepare a detailed project report (DPR) for the project. Following earlier issues with regard to sourcing suitable financing, the Nepalese Government now plans to construct the highway link using the Public-Private Partnership (PPP) and build-own-operate-transfer (BOOT) model. The maximum cost of the Fast Track highway project has been estimated at around US$1.29 billion. The route will involve a number of technical challenges and includes the construction of both bridges and tunnel stretches. Once the highway is complete it will provide an important transport route for Nepal as well as helping improve the road connections through the country to its neighbours India and China.