Kathmandu, April 29: MCA-Nepal has formally launched the upgrading of the 40-kilometre Dhankhola–Lamahi road section of Dang district along the East-West Highway.
For the first time in Nepal, advanced construction technologies such as Full Depth Reclamation (FDR) and superpave asphalt are being used for road reconstruction. These methods aim to enhance quality, durability, and sustainability by reusing existing asphalt materials, reducing environmental impact, and ensuring long-term cost efficiency, MCA Nepal said in a statement.
The project will expand the road to a total width of 12 metres, including a 7-metre carriageway and 2.5-metre shoulders on both sides.
Addressing the inauguration ceremony, Lumbini Province Chief Minister Chet Narayan Acharya praised the use of modern technologies like FDR and Superpave to ensure road quality and durability.
Acting US Ambassador to Nepal Scott Urbom said, “This project represents much more than a single investment. It is a milestone that reflects the strength of our bilateral relationship and our shared commitment to delivering tangible results for the people of Nepal and American businesses working here through the Compact.”
The US Embassy in Kathmandu has further said, “The U.S. Embassy Nepal joined MCA-Nepal and Government of Nepal partners for the groundbreaking ceremony of the Dhanakhola–Lamahi Road Rehabilitation Works under the MCC Nepal Compact, marking a key milestone in the project’s implementation. The milestone reflects the strength of the U.S.-Nepal partnership and renewed progress on one of Nepal’s most significant infrastructure efforts. The broader Compact represents a $747 million joint investment, including $550 million from MCC and $197 million from the Government of Nepal.

“Through its Road Maintenance and Electricity Transmission Projects, the MCC Compact will strengthen Nepal’s road network, lower transportation costs, improve electricity reliability, and support long-term economic growth and cross-border power trade. The Compact demonstrates what the United States and Nepal can achieve together to create lasting opportunities for both nations.”
During the program, Joint Secretary at the Ministry of Physical Infrastructure and Transport Sushil Babu Dhakal said MCA-Nepal’s investment complements government plans and reflects a shared commitment to building strong infrastructure and expanding economic opportunities.
MCC Resident Deputy Director Sanjay Paudyal said the initiative demonstrates MCC’s commitment to supporting Nepal with durable and cost-effective infrastructure using modern technologies.
MCA-Nepal Executive Director Khadga Bahadur Bista said the project marks an important step in implementing the road maintenance component of the MCC Nepal Compact and reaffirmed commitment to transparency, efficiency, and high-quality execution.
The road maintenance project is a key component of the MCC Nepal Compact, aimed at reducing transport costs and improving the overall condition of Nepal’s road network. #Nepal #MCANepal









