Budget constraints are slowing the widening of the Araniko Highway section between Suryabinayak and Dhulikhel. The road, connecting Bhaktapur and Kavre districts, stretches 15.8 kilometres and serves vehicles travelling to eastern hills and Tarai districts via the BP Highway.

The project is split into two sections. The Suryabinayak–Sanga stretch, 7.5 km long, is currently being prepared for asphalt paving, said project engineer Bishnu Prasad Khanal. “If construction proceeds smoothly and the budget is sufficient, both sections could be paved by mid-July,” he added. The government allocated Rs600 million for road construction and Rs100 million for bridges this fiscal year. An additional Rs150 million has been requested to maintain work momentum, with another Rs2 billion needed to complete the project.

The Suryabinayak–Sanga contract was awarded to Ashish–Kumar Shrestha–Bandhan Bhagwati JV on January 8 2023, with a contract value of Rs3.8893 billion. Progress has reached 48 percent. The deadline, originally January 11 2026, was extended to March 13, 2027. Road Department Director General Bijay Jaishi said the main hurdle remains funding. “We requested Rs3 billion but received only Rs700 million,” he said, adding that funds from other projects may be channelled to the project.

Joint Secretary at the Ministry of Finance Tanka Prasad Pandey, who is also the spokesperson at the ministry, assured no work would halt due to budget shortfalls. “We will provide additional funds for ongoing projects,” he said, urging project teams to maintain progress.

The Sanga–Dhulikhel section, 8.3 km long, has reached 65 percent completion, with 2.5 km already paved. Lama Construction took the contract on December 13 2022, for Rs4.0564 billion. The deadline, originally December 13 2025, has been extended to December 9 2026. Three bridges along this section have separate contracts awarded to Himdung & Thokar–Ramjanaki JV, with a combined value of Rs57.5 million including VAT.

Only one bridge, Mahadev Khola in Kavre, is under construction with 10 percent progress; the other two bridges at Bhaktapur (Jagati and Punyamata) are yet to start after redesign adjustments. Khanal said camps for both bridges have been set up, and construction should be swift once started.