Cabinet approves construction of 4-Lane Access-Controlled National Highway-927 from Barabanki to Bahraich (101.515 km) in Uttar Pradesh on Hybrid Annuity Mode at a cost of Rs.6969.04 crore

**Executive Summary** On March 18, 2026, the Cabinet Committee on Economic Affairs approved the construction of a 101.515 km, 4-lane access-controlled section of National Highway-927 from Barabanki to Bahraich in Uttar Pradesh. The project, valued at Rs. 6969.04 crore and implemented via the Hybrid Annuity Mode (HAM), aims to reduce travel time to approximately one hour and establish a strategic trade corridor between India and Nepal. **Key Points / Main Content** **Project Specifications and Design** * **Infrastructure:** A 4-lane access-controlled highway featuring continuous service roads and 48.28 km of bypasses to avoid major habitations. * **Operational Improvements:** Designed to rectify geometric deficiencies and sharp curves, increasing average travel speeds and improving fuel efficiency. * **Traffic Projections:** Estimated Annual Average Daily Traffic (AADT) for FY-28 is 28,557 Passenger Car Units (PCU) for Package-1 and 21,270 PCU for Package-2. **Financial Framework** * **Total Capital Cost:** Rs. 6969.04 crore. * **Breakdown:** Total civil costs are allocated at Rs. 3485.49 crore, with land acquisition costs totaling Rs. 1574.85 crore. * **Implementation Mode:** The project will be executed under the Hybrid Annuity Mode (HAM). **Strategic Connectivity and Multimodal Integration** * **Regional Links:** Connects major roads including NH-27, NH-330B, NH-730, SH-13, and SH-30B. * **Transport Nodes:** Provides seamless access to Lucknow and Shravasti airports, multiple railway stations (including Barabanki and Bahraich), and the Rupaidiha Land Port. * **Cross-Border Trade:** Establishes a vital transit corridor to Nepal via the Nepalganj border to stimulate agri-trade and regional investment. **Socio-Economic Objectives** * **Node Connectivity:** Links 03 Economic Nodes (including 01 SEZ and 02 Mega Food Parks), 02 Social Nodes (Aspirational Districts), and 12 Logistic Nodes. * **GatiShakti Support:** Aligns with PM GatiShakti objectives to enhance connectivity to remote districts like Bahraich and Shravasti. **Impact Analysis** **Stakeholder: Regional Commuters and Residents** **Impact** Travelers will benefit from a significant reduction in travel time, improved road safety, and lower vehicle operating costs. Local residents will experience reduced congestion in built-up areas as heavy traffic is diverted to bypasses. **Action Required** Commuters should prepare for updated traffic routes and utilize continuous service roads for local access once construction is completed. **Stakeholder: Logistics and Trade Sector** **Impact** The project enhances multimodal integration and provides faster movement for goods toward the Rupaidiha Land Port and Nepal. It strengthens the supply chain for 12 logistic nodes and 01 SEZ. **Action Required** Logistics providers and cross-border traders should plan to integrate this corridor into their transit routes to improve delivery efficiency and reduce costs. **Stakeholder: Local Workforce and Industry** **Impact** The project is estimated to generate substantial employment, creating approximately 36.54 lakh direct person-days and 43.04 lakh indirect person-days. **Action Required** Local labor and ancillary service providers should monitor project commencement to engage with direct and indirect employment opportunities.

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