MCA-Nepal marks the start of upgradation of 40km Dhan Khola to Lamahi section of East-West Highway

Millennium Challenge Account Nepal (MCA-Nepal) today marked the commencement of the upgrading of the 40km Dhan Khola-Lamahi section of the East-West Highway. The road upgrading and maintenance works will, for the first time in Nepal, apply Full Depth Reclamation and Superpave as modern construction methods that offer important gains in quality, durability, and sustainability, according to MCA-Nepal.
By creating a stronger and longer-lasting road surface, reusing existing asphalt materials, and reducing environmental impacts, these approaches will help deliver a more reliable and cost-effective investment over the long term, a press note issued by the MCA-Nepal reads. "The project will also widen the road to 12 meters, with a 7-meter carriageway and 2.5-meter shoulders on both sides."
Addressing the event, the Chief Minister of Lumbini Province Chet Narayan Acharya, welcomed the use of modern technologies like FDR and Superpave, which will ensure better quality and longer-lasting roads. “This is a major step forward for our province and the people who rely on this highway every day," he said, adding that the upgrading of the road section will not only make travel safer and more reliable, but also open up new opportunities for local businesspeople, farmers, and entrepreneurs.
Similarly, Charge d'Affaires ai at the US Embassy Scott Urbon said, “Today’s launch of the Dhan Khola-Lamahi road upgrade marks an important milestone in the partnership between the United States and Nepal."
Through the MCC Nepal Compact, we are investing in high-quality, durable infrastructure that will lower transportation costs, improve safety, and connect communities to markets and opportunities, he said, further adding, “This project reflects our trust in Nepal’s future and our joint dedication to sustainable economic growth.”
Speaking at the event, Joint Secretary at the Ministry of Physical Infrastructure and Transportation and MCA-Nepal Board Member Sushil Babu Dhakal expressed, “As a Board member, I am pleased to highlight that MCA-Nepal’s investments are designed to complement the Government of Nepal’s plans and programs."
This collaboration reflects our shared commitment to building resilient infrastructure and expanding economic opportunities for our communities, he said, appreciating the efforts of all involved and look forward to the timely completion of this important project.
The MCC Deputy Resident Country Director Sanjay Poudyal, on the occasion, remarked that this milestone reflects MCC’s commitment to supporting Nepal in building resilient, cost-effective infrastructure using advanced technologies that ensure long-term performance.
"The commencement of works on the Dhan Khola-Lamahi section marks a significant step in implementing the Road Maintenance Project under the MCC Nepal Compact," said MCA-Nepal Executive Director Khadga Bahadur Bisht said. "MCA-Nepal remains committed to delivering this project efficiently, transparently, and to the highest quality standards," he said, adding, “I would also like to recognise the continued support from the Government, Millennium Challenge Corporation (MCC) and our key stakeholders, the Ministry of Physical Infrastructure and Transport, the Department of Roads, and the MCA-Nepal Board.”
The Road Maintenance Project is a key component of the MCC Nepal Compact, aimed at lowering transportation costs and improving road conditions across Nepal.