en.Wedoany.com Reported - The Japanese government has provided an additional 5.7 billion yen in concessional loans for the construction of the Nagdhunga Tunnel in Nepal, bringing Japan's total assistance for the project to over 22 billion yen.

Nepal's Finance Secretary Ghanashyam Upadhaya and Japanese Ambassador to Nepal Maeda Toru signed the exchange of notes on behalf of their respective governments, while Nepal's Ministry of Finance also signed a loan agreement with the Japan International Cooperation Agency (JICA).

According to JICA, the Nagdhunga Tunnel project aims to alleviate traffic congestion at the Nagdhunga Pass and improve transportation links between the Kathmandu Valley and other major regions of the country.

The physical progress of the 2.68-kilometer tunnel has reached approximately 99%, and it is expected to be operational by July 2026.

JICA stated that the project will support Nepal's economic growth, sustainable infrastructure development, and regional connectivity through modern tunneling technology.

Japan has supported Nepal's road and infrastructure development through several major projects, including the BP Highway, the Kathmandu-Bhaktapur Road, and numerous bridges across the country.

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