Kathmandu: MCA-Nepal has signed two major contracts totaling USD 23.66 million to advance road maintenance projects under the Millennium Challenge Corporation (MCC) Nepal Compact. The agreements mark a significant step in enhancing Nepal’s road infrastructure and long-term economic growth.

A USD 20 million contract was signed with Sharma–Kumar Joint Venture for the upgrading of the 40 km Dhankhola–Lamahi section of the East-West Highway, using Full-Depth Reclamation and Superpave technology. A supporting USD 3.66 million contract was awarded to Intercontinental Consultants and Technocrats Pvt. Ltd. (ICT) for supervising these upgrades and the periodic maintenance of the Narayanghat–Mugling Road section.

The projects introduce new road technologies to Nepal for the first time, including 7-meter carriageways with 2.5-meter shoulders on both sides, totaling 12 meters wide, aiming to improve road quality, safety, and efficiency.

U.S. Ambassador to Nepal Dean Thompson highlighted the contracts as a milestone in the U.S.-Nepal partnership and the MCC Compact, emphasizing the introduction of American road maintenance excellence. Officials from Nepal’s Ministry of Finance, Ministry of Physical Infrastructure and Transport, and the Department of Roads also praised the project’s potential to lower transportation costs, reduce travel time, and boost road safety.

MCA-Nepal Executive Director Khadga Bahadur Bisht said the contracts mark a “remarkable milestone” in implementing the Road Maintenance Project, which is part of MCC’s broader effort to enhance road conditions and promote sustainable economic development in Nepal.