On December 3, the Japan International Cooperation Agency (JICA) signed a loan agreement with the Government of Nepal in the capital city Kathmandu, to provide Japanese ODA loan for the Project for the Koteshwor Intersection Improvement Project. The signatures were exchanged between International Economic Relations Division Joint Secretary Dhani Ram Sharma of Ministry of Finance and Chief Representative Matsuzaki Mizuki of JICA Nepal.
The project outline is explained below.
Terms and Amount of Loan
Koteshwor Intersection Improvement Project
– Country (Target Areas)
Nepal (Kathmandu Metropolitan Area)
– Project Objective
The Project aims to ease traffic congestion and improve traffic flow in Kathmandu by grade-separating three intersections—Tinkune, Koteshwor, and Jadibuti—thereby contributing to economic growth and urban environmental improvement in the Kathmandu Metropolitan Area.
– Project Component
a) Grade separation of Koteshwor, Tinkune, and Jadibuti intersections and widening of existing roads
b) Consulting services (detailed design, bidding assistance, construction supervision, etc.)
– Maximum Loan Amount
34,490 million Japanese Yen
– Annual Interest Rate
Project: 0.2%, Consulting Services: 0.2%
– Repayment Period
40 Years
– Grace Period
10 Years
– Procurement
General Untied
– Executing Agency
Department of Roads, Ministry of Physical Infrastructure and Transport
– Contribution to SDGs
Goal 9（Industry, innovation and infrastructure）
Goal 11（Sustainable cities and communities）
– Planned Implementation Schedule
1. Completion of the Project: February 2034, upon the commencement of operations.
2. Issuing of letters of invitation for consulting services (including detailed design work): April 2026
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction:
Package for Civil Engineering
