The urban population of Nepal is increasing by more than 4.7% annually, a rate much faster than the world average of 1.85%. This is straining cities already hard-pressed to provide services such as public transport. Under this technical assistance, a comprehensive urban transport and land use strategy will be prepared for Biratnagar, a hub for agriculture, industry and trade on the southeastern border with India. The plan will then be offered as a model for other regional economic centres around Nepal. Improved transport systems should move people and goods more efficiently, reduce congestion, lead to fewer traffic accidents, more efficient use of fuel and better air quality.