Union Cabinet Approves ₹6,014 Crore Highway & Railway Projects in Bihar – Here’s Why It Matters

Outlook Business Desk

Cabinet Project Approval

The Union Cabinet approved two infrastructure projects worth ₹6,014 crore in Bihar, including a four-lane highway in Sahebganj-Areraj-Bettiah section of NH-139W and doubling of the Bakhtiyarpur–Rajgir–Tilaiya railway line.

Highway Connectivity Boost

The new four-lane greenfield highway will improve connectivity between Patna and Bettiah, linking north Bihar districts including Vaishali, Saran, Siwan, Gopalganj, Muzaffarpur, and Champaran, reaching the Indo-Nepal border areas.

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Regional Impact

The highway will support long-distance freight movement, improve access to key infrastructure, and enhance regional economic development by connecting agricultural zones, industrial areas, and cross-border trade routes in Bihar.

Project Funding Model

The ₹3,822 crore highway will be built under the hybrid annuity model, with 40% of costs paid upfront to the developer and the remainder in annual installments, ensuring timely completion.

Tourism Development Focus

The highway will also improve access to heritage and Buddhist tourist sites, including Kesariya Buddha Stupa, Someshwarnath Mandir, Jain Mandir, Vishwa Shanti Stupa, and Mahavir Temple, strengthening Bihar’s Buddhist circuit and international tourism potential.

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Travel Time Reduction

The new highway alignment is expected to cut travel time between Sahebganj and Bettiah from 2.5 hours to just one hour, significantly improving commuting efficiency and regional mobility.

Railway Doubling Project

The ₹2,192 crore project will double the existing Bakhtiyarpur–Rajgir–Tilaiya railway line, covering four districts in Bihar and extending the Indian Railways network by approximately 104 km to handle more passengers and freight.

Freight Capacity Increase

Doubling the railway line will ease saturation, enable faster train movement, and increase freight capacity by 26 Million Tonnes Per Annum, facilitating efficient transport of coal, cement, clinker, fly ash, and other commodities, the cabinet said.

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