India is the largest developmental partner of Nepal and a major portion of developmental assistance is focussed on large-scale infrastructure projects
Work on new cross-border rail links and completion of existing railway projects between India and Nepal is set to get a boost with both sides carrying out a detailed review in New Delhi last week.

These include passenger train services between Ayodhya in Uttar Pradesh, India and Janakpur in Nepal; completion of two important ongoing rail connectivity projects; and a new broad gauge rail link connecting Bihar to the Nepalese capital of Kathmandu.  

India-Nepal Bilateral Cooperation in the Railway Sector
The progress on implementation of ongoing railway links as well as the overall bilateral cooperation in the railway sector was taken up for discussion at the 9th Project Steering Committee (PSC) and the 7th Joint Working Group (JWG) meetings held in New Delhi on February 27-28 , 2025.

According to the Ministry of External Affairs (MEA), both sides discussed the ongoing works of Jaynagar-Bijalpura-Bardibas and Jogbani-Biratnagar broad gauge railway lines between India and Nepal. These are being developed with grant assistance from the Indian government. 

At the same time, the Final Location Survey (FLS) Report of the Raxaul-Kathmandu Broad Gauge Railway Link, Standard Operating Procedures (SOPs) for the commencement of passenger train services on the Janakpur-Ayodhya section and additional railway links were also discussed, the MEA said. 

Jaynagar, Jogbani, and Raxaul are all located in the Indian state of Bihar, close to the border with Nepal.

Operations on the Kurtha-Bijalpura rail section of the Jaynagar-Bijalpura-Bardibas cross-border rail line commenced in July 2023, a month after the project was officially handed over to Nepal. This section of the rail line covers 17.3 km, stretching across the stations of Kurtha, Pipradi, Loharpatti, Singyahi, and Bijalpura in Nepal. 

This was the second phase of the 68.72 km Jaynagar-Bijalpura-Bardibas broad gauge cross-border rail line project. The first phase, between Jaynagar (in Madhubani district, Bihar) and Kurtha (in Janakpur, Nepal) was inaugurated in April 2022, giving a boost to religious tourism in the region. 

This was the first cross-border broad gauge rail link to become operational between India and Nepal. Till 2014, a narrow gauge rail service was operational between Jaynagar and Janakpur. Services were halted when work was taken up to convert the railway line to broad gauge.

On the other hand, the inaugural run of an Indian railway cargo train from Bathnaha (India) to the Nepal Customs Yard was witnessed by Prime Minister Narendra Modi and his Nepalese counterpart  Pushpa Kamal Dahal 'Prachanda' during an event in New Delhi on June 1, 2025.

The preparedness for the commencement of work on the remaining sections of these two railway lines - from Bijalpura to Bardibas on the Jaynagar-Bijalpura-Bardibas and Nepal Custom Yard to Biratnagar on the Jogbani-Biratnagar line - was reviewed during last week’s meetings in New Delhi. 

The Nepali side assured that necessary facilitation will be provided for early commencement and completion of the work on the remaining sections of the railway lines, the MEA said.

India-Nepal Developmental Partnership
It is worth pointing out that India is the largest developmental partner of Nepal. A major portion of developmental assistance is focussed on large-scale infrastructure projects under grants. These are aimed at the priority sectors necessary for the rapid development of Nepal, including in the field of health, education and connectivity.

India-Nepal cooperation for developing modern infrastructure in Nepal began in 1951, with the construction of the Gauchar Airport in Kathmandu (the present-day Tribhuvan International Airport). The India-Nepal Development Partnership has continued and expanded for over seven decades. The projects under this partnership have been diverse in size and sectors with a geographical spread throughout the Himalayan nation.

High Impact Community Development Projects (HICDPs) are another important aspect of the India-Nepal development partnership. 

These short-gestation, grass root projects have been implemented in the priority sectors of the Government of Nepal such as hospitals, schools, colleges, drinking water facilities, sanitation & drainage system, rural electrification & hydro power plant, embankment and river training works.