The government has announced plans to construct three major tunnel roads in the upcoming Fiscal Year (FY) 2025/26, including the Nagdhunga Tunnel, the Siddhababa Tunnel, and a tunnel section on the Kathmandu-Terai Expressway.

Presenting the annual budget at the Joint Session of the Federal Parliament on Thursday, Deputy Prime Minister and Finance Minister Bishnu Paudel said these infrastructure projects are part of the government’s broader effort to improve national connectivity and reduce travel time across key corridors.

In addition to the tunnel projects, the government has set a target to blacktop 850 kilometres of roads and complete the construction of 171 road bridges under national pride and major highway projects.

To support these initiatives, a total of Rs 152 billion has been allocated to the Ministry of Physical Infrastructure and Transport for FY 2025/26.