Kathmandu, April 29 — The United States and Nepal marked a significant step forward in their development partnership today with the groundbreaking ceremony for the Dhanakhola–Lamahi Road Upgradation Works, held under the Millennium Challenge Corporation (MCC) Nepal Compact.
The event, attended by representatives from the U.S. Embassy, MCA-Nepal, and the Government of Nepal, signals progress in one of the country’s key infrastructure initiatives aimed at improving connectivity and economic efficiency.
Speaking at the ceremony, Chargé d’Affaires a.i. Scott Urbom emphasized the broader importance of the project. “This project is not merely an investment; it is a crucial milestone that highlights the strengthening of our diplomatic relations and our shared commitment to delivering tangible outcomes for the people of Nepal and American businesses operating in the country under the MCC Compact,” he said.
The Dhanakhola–Lamahi road project forms part of the wider MCC Nepal Compact, which represents a joint investment of $74.70 million, including $55 million from the U.S. government through the MCC and $19.70 million from the Government of Nepal.
According to officials, the Compact’s Road Maintenance and Electricity Transmission Projects are expected to strengthen Nepal’s transport network, lower transportation costs, and improve the reliability of electricity supply. The initiative also aims to support long-term economic growth and facilitate cross-border electricity trade.
Officials noted that the Compact reflects the shared commitment of the United States and Nepal to sustainable development and economic opportunity, demonstrating the potential of bilateral cooperation in delivering impactful results.
