Road work is underway to upgrade Nepal’s East-West Highway to meet Asian Highway standards. The project is funded by the Asian Development Bank and the Government of Nepal and is being undertaken as part of the South Asia Subregional Economic Cooperation (SASEC) partnership. Other sections of the road is being funded by the World Bank is funding other sections of the road.

The Nepal Ministry for Energy, Water Resources and Irrigation, Physical Infrastructure and Transport, and Urban Development is supervising construction, which has now reached 25% completion. The road upgrade is expected to spur trade and improve transport in Nepal and between Nepal and neighboring countries.