Nepal Launches $550M East-West Highway Upgrade Under MCC Compact
Nepal has initiated a 40-kilometer upgrade of the East-West Highway, a key project within the $747 million MCC Nepal Compact. This initiative, funded by $550 million from the U.S. and $197 million from Nepal, utilizes advanced road construction techniques to enhance infrastructure and economic opportunities.

Nepal has commenced the upgrade of a 40-kilometer segment of the East-West Highway, leveraging $550 million from the Millennium Challenge Corporation (MCC) as part of the total $747 million MCC Nepal Compact. The upgraded highway will feature modern construction methods such as Full Depth Reclamation and Superpave, improving durability and reducing maintenance costs.
The road will be widened to 12 meters with a 7-meter carriageway and 2.5-meter shoulders on each side. This project is seen as a significant step toward enhancing road safety and boosting local economies.
Additionally, the MCC Compact includes an Electricity Transmission Project aimed at improving power reliability in Nepal. The successful implementation of these infrastructure projects may lead to increased foreign investment and improved regional connectivity.




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