In a significant push toward rural connectivity, the Nepal Telecommunications Authority (NTA) and Nepal Telecom (NTC) have today signed a formal agreement to implement a long-delayed Rural Telecommunications Development Fund (RTDF) project aimed at expanding optical fiber networks across Gandaki and Lumbini provinces.

The signing ceremony took place in Kathmandu in the presence of Minister for Communication and Information Technology Prithvi Subba Gurung and Secretary Radhika Aryal. NTA Chairman Bhupendra Bhandari and acting Managing Director of Nepal Telecom Sabina Maskey Pradhan exchanged the agreement on behalf of their respective institutions.

Long-Delayed RTDF Project Revived

According to NTA Chair Bhandari, similar RTDF-funded projects in previous years were handed over to UTL and Smart Telecom, but both failed to begin work, leaving rural network expansion stalled. The government first launched the RTDF initiative in 2016 (2073 BS) targeting Koshi, Madhesh, and Bagmati provinces.

“This agreement has been made to finally restart the project after a long halt,” Bhandari said, adding that Nepal Telecom will be required to complete the optical fiber rollout in Gandaki and Lumbini within three years. The estimated project cost stands at NPR 2.01 billion.

He added that if any rural area in Nepal still lacks connectivity, NTA will arrange for immediate network expansion upon receiving information via email. Bhandari also affirmed that the NTA will remain proactive to fully implement the RTDF initiative, stating it is crucial to the government’s Digital Nepal Framework.

Scope of Work: Fiber in 194 Local Levels

Acting MD Pradhan of Nepal Telecom said that the company has been expanding broadband optical fiber across the country for the past nine years. Under this project, fiber will be extended to 23 districts of Gandaki and Lumbini provinces. The goal is to connect all 194 local units via approximately 1,900 kilometers of fiber, enabling shared ICT infrastructure.

She emphasized that this network will serve as an information highway across rural areas, significantly boosting telecom access.

Communication Secretary Aryal, however, stressed that merely starting the project is not enough. She directed both NTA and NTC to ensure the project is completed within the stipulated time and urged the authority to conduct outcome-based monitoring.

“Starting a project is not meaningful unless it is completed on time,” she said, questioning the progress clarity of various ongoing telecom projects and emphasizing accountability.