Government of Nepal
Ministry of Urban Development
Department of Urban Development & Building Construction
Regional Urban Development Project
Cost & Sharing

General Details


Project Name  : Regional Urban Development Project
Funding Agency : ADB
Loan Agreement Date :  July 07 2017
Project Period : 2017 - 2022 ( 5 Years)
Current Status :  Work started as retroactive financing on fiscal year 2073-74
Total Budget : 214 US million
Project Coverage :

BiratNagar, Birgunj,SiddharthNagar,Nepalgunj,Dhangadhi, Bhimdutta, Godavari, Suklaphat



Cost & Sharing Details


Loan Agreement, Loan No. 3566-NEP (COL) between the Government of Nepal (GoN) and the ADB, allocated an amount in various currencies equivalent to one hundred eight million eight thousand Special Drawing Rights (SDR 108,008,000 or US$ 150 million equivalents at time of loan) as a loan towards implementation of RUDP. 

The loan represents 70.1% of the project cost with the 26.2% and 3.7% balance of project costs provided by the government and project municipalities respectively. 

In addition, ADB has allocated a piggy-bank US$ 1 million equivalent technical assistance (TA) to share the accomplishments. This fund will be administrated by ADB. 


As per PAM proposed cost-sharing details for implementation of the Project is presented in Table 1.1. The share on proposed cost of both GON and municipalities in civil works is 23% to 25% and 4% to 6% respectively. Correspondingly, the cost share in the incremental cost of GON and Municipalities is 30% to 40% and 10% to 20%. The GON cost share proposed for P7 municipalities is higher than non P7 municipalities, correspondingly, P7 municipalities cost share is less than non P7 municipalities.


Table 1.1 : Proposed Cost Sharing Details of RUDP
Not Available



Chakravarti Kanth
Project Director

Navin K. Devkota
Information Officer

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