Kathmandu, Dec. 3 -- Japan has agreed to provide a Rs31 billion loan to improve the Koteshwar intersection in Kathmandu.

The loan documents were signed on Wednesday by Japanese Ambassador Maeda Toru and Finance Secretary Ghanashyam Upadhyaya in the presence of Finance Minister Rameshore Prasad Khanal.

The project includes the construction of a flyover at Koteshwar, a key traffic point linking Kathmandu with Nepal's eastern region. The improvement is expected to ease congestion around Koteshwar and Tinkune, the Japanese embassy in Kathmandu said in a statement.

Officials project travel time between Tinkune and Jadibutti to fall from the current 40 to 60 minutes to around 5 to 10 minutes.

The Japanese ambassador thanked the interim gove...