Cabinet approves widening, strengthening of highways project in Odisha — UPSC Current Affairs | December 31, 2025
Cabinet approves widening, strengthening of highways project in Odisha
The Union Cabinet approved the widening and strengthening of NH-326 in Odisha, aiming to improve connectivity and boost socio-economic development in the southern districts. The project, with a capital cost of ₹1,526.21 crore, is crucial for UPSC aspirants focusing on infrastructure and regional development.
Overview On December 31, 2025 , the Union Cabinet approved the widening and strengthening of NH-326 in Odisha. This project aims to upgrade the existing two-lane stretch to a two-lane highway with a paved shoulder, covering a distance from 68.600 km to 311.700 km . The project will be executed under the EPC (Engineering, Procurement, and Construction) mode. Key Developments Project Details Project Name: Widening and Strengthening of NH-326 Location: Odisha Length: 68.600 km to 311.700 km Approval Date: December 31, 2025 Mode of Execution: EPC (Engineering, Procurement, and Construction) Financial Outlay Total Capital Cost: ₹1,526.21 crore Civil Construction Cost: ₹966.79 crore Expected Benefits Faster, safer, and more reliable travel Overall development of southern Odisha Benefits to districts of Gajapati , Rayagada , and Koraput Enhanced access to markets, healthcare, and employment opportunities Contribution to the region's inclusive growth Background The government officially declared the stretch as NH-326 via a Gazette Notification dated August 14, 2012 . The highway starts from its junction with NH-59 near Aska, passes through Mohana, Raipanka, Amalabhata, Rayagada, Laxmipur, and terminates at its junction with NH-30 near Chinturu in Odisha. UPSC Relevance This project is highly relevant for the UPSC Civil Services Exam, particularly under GS Paper III (Infrastructure Development) and GS Paper II (Government Policies) . It highlights the government's focus on improving road infrastructure to boost regional development and economic growth. Key Areas for UPSC Preparation Infrastructure Development: The project exemplifies government efforts to enhance connectivity and infrastructure in backward regions. Regional Development: The focus on southern Odisha and its impact on local communities is crucial. Government Policies: Understanding the EPC mode and Gazette Notifications is important for policy analysis. Important Facts for Prelims The project involves upgrading NH-326 in Odisha. The total capital cost is ₹1,526.21 crore . The project will benefit the districts of Gajapati , Rayagada , and Koraput . The Gazette Notification for NH-326 was issued on August 14, 2012 .