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Marubeni Signs Yen Loan Agreement for Nepal: Improved Intersections to Ease Traffic Congestion and Improve Urban Environment | News & Press Releases

Posted on December 13, 2025 by Editor in Chief

The Japan International Cooperation Agency (JICA) signed a Loan Agreement (L/A) with the Government of Nepal for the “Koteshore Intersection Improvement Project” in Kathmandu, the capital city of Nepal, on December 3. The L/A was signed between Mr. Dani Ram Sharma, Director General, International Economic Coordination Bureau, Ministry of Finance, Nepal, and Mr. Mizuki Matsuzaki, Director General, JICA Nepal Office.

This project is connected to the “Kathmandu-Bhaktapur Road” connecting the capital city of Kathmandu and the tourist city of Bhaktapur, which was developed through Japanese grant aid, and the “Sinzuri Road” connecting the Kathmandu Basin and the East Tarai region, symbolizing the friendly relationship between Japan and Nepal. It is one of the integral supports of the eastern route, symbolizing the friendly relationship between Japan and Nepal.

Signing Ceremony

A summary of the business is as follows

Project Summary

Cotechor Intersection Improvement Project

Koteshwor Intersection Improvement Project

Country (Region)

Nepal (Kathmandu Metropolitan Area)

Business Objectives

This project aims to smooth traffic flow and alleviate traffic congestion in Kathmandu City by upgrading three intersections at Tinkune, Koteshore, and Jadibuti intersections, thereby contributing to the economic growth of Kathmandu Metropolitan Region and improvement of the urban environment.

Business

(a) Multi-leveling of Coteşor, Tinkne and Jadibuti intersections and widening of existing roads.

(b) Consulting services (detailed design, bidding assistance, construction supervision, etc.)

Loan amount (maximum)

34.49 billion yen

Interest Rates

Main body: 0.2% Consulting services: 0.2

Redemption period

40 years (including 10 years of deferment)

Procurement Conditions

General untied

Implementing Agency

Ministry of Infrastructure, Transport and Highways

Contribution to the achievement of the SDGs

Goal 9 (Create a foundation for industry and technological innovation)

Goal 11 (Create a community where people can continue to live)

Schedule for future project implementation (tentative)

Project completion date: February 2034 (project completion at the time of facility provision)

2. expected date of sending invitation for consulting services (detailed design, etc.): April 2026

3. public announcement of bids for the first package of international competitive bids for the main body of work:

Name of procurement package: Civil engineering package

Scheduled date: June 2028

read more

© Source JICA

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