Kathmandu– Nepal has requested India’s financial, economic, and technical insights regarding the viability of the 141-km Raxaul-Kathmandu railway line, which aims to establish a direct link between the Indian border city and the Nepalese capital.
India and Nepal recently held the 9th Project Steering Committee (PSC) and the 7th Joint Working Group (JWG) meetings on February 27-28 in New Delhi. These meetings focused on reviewing the implementation of ongoing cross-border railway projects and overall bilateral cooperation in the railway sector.
Concerns Over Financial Viability
Sushil Babu Dhakal, Joint Secretary at Nepal’s Ministry of Physical Infrastructure and Transportation, who led the Nepalese delegation, highlighted concerns about the railway project’s financial viability. Speaking to local media in Kathmandu, he cited the long 25-year payback period as a significant factor requiring India’s perspective.
“We are in the early stages of railway development and lack extensive experience in this sector. Additionally, with an expressway also under construction to connect Kathmandu with the southern plains, we have asked for technical insights from India,” Dhakal told The Kathmandu Post.
Key Discussions in New Delhi
During the meetings, both sides discussed:
- The Final Location Survey (FLS) Report of the Raxaul-Kathmandu Broad Gauge Railway Link.
- Standard Operating Procedures (SOPs) for the commencement of passenger train services on the Janakpur-Ayodhya section.
- Progress on additional cross-border railway links.
The Indian delegation was led by Rohit Rathish, Joint Secretary at the Ministry of External Affairs (MEA), along with Pradeep Ojha, Executive Director, Traffic Transportation-Freight at the Ministry of Railways.
Potential Economic Benefits and Connectivity
The Indian side emphasized linking the existing cross-border railway between Nepal’s Janakpur and India’s Ayodhya. With Ayodhya attracting over 100 million visitors last year, even a fraction of this number visiting Janakpur would boost economic and tourism prospects, Dhakal noted.
Ongoing projects like the Jaynagar-Bijalpura-Bardibas and Jogbani-Biratnagar broad gauge railway lines, developed with Indian grant assistance, were also discussed. Nepal assured India that it would facilitate the early commencement and completion of the remaining sections, specifically:
- Bijalpura to Bardibas on the Jaynagar-Bijalpura-Bardibas route.
- Nepal Custom Yard to Biratnagar on the Jogbani-Biratnagar route.
Strengthening Bilateral Railway Cooperation
A statement issued by the MEA highlighted the agreement between both countries to enhance technical cooperation. This includes:
- Capacity building for Nepali railway personnel.
- Logistic support.
- Specialized training programs.
Historical Agreement and Future Outlook
The Raxaul-Kathmandu railway project stems from a 2018 agreement between Indian Prime Minister Narendra Modi and then-Nepali Prime Minister KP Sharma Oli. India committed to supporting Nepal in constructing the electrified rail line, providing financial and technical assistance.
As part of the initial agreement, India was to complete preparatory survey work within a year, after which both nations would finalize implementation and funding based on the Detailed Project Report. The Nepalese government assured full cooperation to expedite necessary surveys for the project’s successful execution.
The successful completion of the Raxaul-Kathmandu railway line could revolutionize Nepal’s transportation infrastructure, enhancing trade, tourism, and cross-border mobility. As discussions progress, both countries continue to explore the most feasible approach to ensure a sustainable and economically viable railway system.
For further updates on Nepal’s infrastructure projects, visit Nepal Monitor.
