KATHMANDU: The Government of Japan has pledged grant assistance worth 2.8 billion yen (approximately Rs 2.6 billion) for the emergency reconstruction of the Sindhuli section of BP Highway, which was severely damaged by floods in September 2024.

The Exchange of Notes was signed in Kathmandu in the presence of Finance Minister Rameshore Prasad Khanal and Home Minister Om Prakash Aryal.

MAEDA Toru, Ambassador of Japan to Nepal, and Ghanshyam Upadhyaya, Secretary of the Ministry of Finance, officially signed the agreement.

The 160km BP Highway connects the mid and eastern Terai regions with Kathmandu.

Originally constructed with Japanese assistance totaling 25.8 billion yen from 1995 to 2015, the road has long been a key driver of Nepal’s economic growth.

Continuous heavy rains in September 2024 led to over 10km of the road being washed away, severely impacting local communities, trade, and transportation.

The Japanese grant will help restore and rehabilitate the road, ensuring it continues to serve as a crucial transportation route and a symbol of friendship between Japan and Nepal.

The Embassy of Japan emphasized that this project will contribute to Nepal’s sustainable economic development while strengthening bilateral ties.