Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 17 Nov 2006
PDS Updated as of 22 Dec 2011

Project Name Subregional Transport Facilitation (NEP)
Country Regional
Project/Program Number 37027-013
Status Closed
Geographical Location Birgunj, Bhairahawa, Kakarbhitta
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector Transport and ICT
Subsector Road Transport
Strategic Agendas
Drivers of Change
Gender Equity and Mainstreaming Categories


Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan2097Asian Development Fund20,000
Counterpart 6,700
TOTAL US$ 26,700

Safeguard Categories

For more information about the safeguard categories, please see

Environment A

Summary of Environmental and Social Issues

The contractors complied with the provisions related to the minimum wages, child labor and other legal requirements. DOR submitted the updated progress report on land compensation and resettlement, including its verification by an external monitoring agency/consultant on 12 May 2010.

Environmental Aspects
Involuntary Resettlement
Indigenous Peoples

Stakeholder Communication, Participation and Consultation

Review mission conducted from 10 to 19 May 2010.

During Project Design
During Project Implementation


The principal objective of the Project is to reduce transportation costs associated with Nepal's imports and exports, and to improve the efficiency and organization of transit trade documentation and data exchange. It also aims at promoting sub-regional economic cooperation through improved trade facilities and transit logistics under the SASEC Program.

Project Rationale and Linkage to Country/Regional Strategy

Transit logistics and trade facilities play a critical role for economic development and cooperation for Nepal as well as the SASEC subregion. To achieve economic development through international trade, physical and procedural obstacles hindering the competitiveness of export industries need to be reduced to the largest extent possible to reduce major barriers to foreign markets; promote a greater integration of developing countries in the global economic and attract foreign direct investment to least developed countries. Nepalese tradeable goods face one of the highest transport costs in the region, impeding the country's ability to improve competitiveness of its export goods and expand foreign trade. To improve reliability of delivery of goods and reduce transport cost, it is necessary to have rationalized transit agreements, improved border roads, transit practice and facilities, simplified and modernized customs clearance procedures and documentations, and modern data exchange system. Consistent with ADB's policies and HMGN's 10th Five-year Plan, the project is part of international efforts to help Nepal to improve transit logistics and trade facilitation that can be implemented in the country and yet it will have a big impact on trade and transit transport development between Nepal and other countries within SASEC to promote economic growth and poverty reduction. The ADB-sponsored South Asia Subregional Economic Cooperation (SASEC) program comprising Bangladesh, Bhutan, India and Nepal developed action programs for subregional economic cooperation in six priority sectors: transport, energy, tourism, environment, trade, investment and private sector cooperation and information and communication technology. The Transport Working Group under the SASEC program identified six major subregional transport corridors, two involving Nepal, that need to remove institutional and physical impediments (choke points) to enhance subregional transport connectivity and economic integration.

Development Impact

Project Outcome

Description of Outcome
Progress Towards Outcome

Outputs and Implementation Progress

Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Status of Development Objectives
Material Changes

Business Opportunities

Date of First Listing 2006 Nov 17
Consulting Services
About 37 person-months of international consultants and 301 person-months of domestic consultants will be required to assist the executing agency in (i) institutional capacity building with documents preparation and specification recommendation with respect to equipment for institutional capacity building component, and training on automation or cargo clearance improvement component; (ii) detailed design, bid preparation, procurement and construction supervision, and contract administration for two access roads and ICD, (iii) study and recommendation of toll level and collection methodology, and (iv) assisting the executing agency in monitoring and verifying resettlement action plans, environment management plans, HIV/AIDS and human trafficking program. Consulting firm will be recruited using ADB's quality- and cost-based selection procedure in accordance with ADB's Guidelines on the Use of Consultants and other arrangements satisfactory to ADB on the engagement of domestic consultants.
All civil works contract packages will be procured in accordance with ADB's Guidelines for Procurement following international competitive bidding procedures. Equipment for international shopping will be accepted for supply contracts valued at less than $500,000, and direct purchase will be applied for small or off-the-shelf items valued at less than $100,000.
Procurement and Consulting Notices


Concept Clearance
Fact-finding 24 May 2004 to 04 Jun 2004
Management Review Meeting 03 Aug 2004
Approval 04 Nov 2004
Last Review Mission


Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2097 04 Nov 2004 19 Jan 2005 10 May 2005 01 Jul 2010 21 Sep 2010


Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
25 Oct 2014 Loan 2097 17,342 0 99.00%
Cumulative Disbursements
25 Oct 2014 Loan 2097 17,540 0 100.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 2097

Contacts and Update Details

Responsible ADB Officer (
Responsible ADB Department South Asia Department
Responsible ADB Divisions Transport and Communications Division, SARD
Executing Agencies Ministry of Physical Planning and Works
Mr. Purna. P. Kadariya


Project Website
List of Project Documents