Kathmandu, January 4 – Nepal’s road infrastructure projects, funded by loans from the Asian Development Bank (ADB), are facing significant delays, raising concerns about their economic and social impact. These projects, aimed at expanding and upgrading critical road sections across the country, have been marred by sluggish progress, escalating costs, and growing public dissatisfaction.
Despite their strategic importance in boosting connectivity, fostering trade, and enhancing tourism, the poor state of these roads has left citizens struggling with muddy pathways during the monsoon and dusty conditions in the dry season. Delays have also obstructed Nepal’s aspirations to position itself as a prominent tourist destination, with regions like Lumbini and Pokhara—both key tourist hubs—bearing the brunt of these setbacks.
Key Projects Under Review
1. Narayanghat-Butwal Section
The 113-kilometer Narayanghat-Butwal section of the East-West Highway is a critical artery for Nepal's trade and tourism. However, with physical progress at just 52.5%, the project is far behind its original completion deadline of mid-2022. Initiated in January 2019, the project was expected to conclude within 42 months but has faced multiple deadline extensions. The latest completion date is set for July 2025.
This delay has adversely impacted tourism to Lumbini, the birthplace of Lord Buddha, as poor road conditions discourage visitors. The project cost has also risen from NPR 16.99 billion to NPR 17.27 billion due to time extensions.
2. Kakarbhitta-Laukahi (Itahari) Section
Spanning 96 kilometers, this section of the East-West Highway began construction in early 2024 and has achieved only 4.5% physical progress to date. While preliminary tasks like tree felling and utility relocations are underway, challenges in land acquisition and local resistance have significantly hampered progress. The project is scheduled for completion by 2033, but delays are already raising alarms about further cost escalations.
3. Kanchanpur-Kamala Section
The 86.83-kilometer Kanchanpur-Kamala section, initiated in mid-2020, was expected to be completed by late 2023. However, with only 50.3% physical progress and 56.2% financial progress, the project is far from meeting its target. This section includes the construction of 54 major bridges, 218 culverts, and nearly 75 kilometers of drainage infrastructure, all of which remain incomplete.
4. Mugling-Abukhaireni-Pokhara Road
A lifeline for tourists traveling to destinations like Pokhara, Manang, and Mustang, this 80.33-kilometer road has also seen limited progress. Only 47% of the work has been completed, with major portions still under construction. Financial progress stands at just 23%, and critical structures like bridges over the Seti and Madi rivers remain unfinished.
Reasons for Delays
ADB’s Nepal Directorate Chief, Chuda Raj Dhakal, cited several factors contributing to the delays:
Forest and wildlife conservation challenges.
Difficulties in land acquisition and compensation.
Relocation of utility poles and water pipes.
Shortages of construction materials.
Local disruptions and legal complications.
Economic and Tourism Fallout
Former government secretary and engineer Arjun Jung Thapa expressed concerns over the prolonged delays, highlighting their detrimental impact on tourism and trade. Lumbini and Pokhara, two of Nepal's premier tourist destinations, have seen a significant decline in visitors due to poor road connectivity. The delays are also inflating project costs, putting additional strain on Nepal’s economy.
Furthermore, unfinished sections of the Narayanghat-Butwal road have disrupted the movement of goods between major trade points like Bhairahawa and Kathmandu, further exacerbating economic challenges.
The Road Ahead
While the ADB-funded projects have the potential to transform Nepal’s connectivity and economic prospects, immediate interventions are necessary to address the underlying issues. Streamlining land acquisition processes, enhancing coordination between stakeholders, and ensuring the availability of construction materials are critical to accelerating progress.
Failure to address these delays will not only hinder Nepal’s developmental goals but also risk alienating international investors and stakeholders who have supported these projects in good faith.
Ecosphere News will continue to monitor these developments and provide updates on Nepal’s infrastructure progress and its broader implications for the nation’s economy and society.
