Biratnagar string transport took a concrete step forward after Kathmandu Podway Company submitted a special bank guarantee for a 7 km line linking the Rani Bhansar border checkpoint with the city’s main bus terminal.
Biratnagar string transport: bank guarantee submitted to Koshi Investment Authority
UST Inc.’s partner in Nepal, Kathmandu Podway Company, announced the new phase of preparations for the string transport line in Biratnagar. The company provided a special bank guarantee, which has been submitted to the Investment Authority of Koshi Province, signaling that the project is moving from concept toward execution.
The project involves building a 7 kilometer line connecting the Rani Bhansar checkpoint on the Indian border with Biratnagar’s main bus terminal. It is being implemented as a public-private partnership. A local project office is expected to open within a week, giving the project a permanent footprint in the city.
The company also received permission to use the median of the Koshi Highway for the elevated infrastructure. The next step is preparing a Detailed Project Report, which is expected to be submitted within a year, with construction planned to begin after that.
Local businesses push for Dharan and Bhedetar extension
Kathmandu Podway representatives have met with members of business, industrial and public organizations in the region. The discussions focused on the proposed route and the potential involvement of local businesses in financing the project once the Detailed Project Report is ready. Local entrepreneurs proposed extending the line toward Dharan and then onward to Bhedetar, one of eastern Nepal’s major tourist destinations.
Why elevated string transport matters for Biratnagar
Biratnagar, the industrial capital of Koshi Province, sits on Nepal’s busiest overland trade corridor with India. Its streets are chronically congested, and the Koshi Highway median offers a rare ready-made corridor for elevated transit that avoids fresh land acquisition. String transport systems, which run small automated pods on elevated rails, promise frequent service with a far smaller footprint than conventional metro or bus rapid transit.
If the DPR confirms viability and financing falls into place, the Biratnagar string transport line would be among the first of its kind in South Asia, giving Nepal an early foothold in a technology its promoters say is cheaper and faster to build than traditional urban rail.
For now, the bank guarantee and the promised project office mark the project’s most tangible progress yet. The coming year of detailed design work will determine whether the pods actually start gliding above the Koshi Highway.
Source: uST Inc., October 6, 2026.