Cabinet clears key road and rail projects worth Rs 7,616 crore for poll-bound Bihar

The Union Cabinet has approved two major infrastructure projects worth Rs 7,616 crore aimed at boosting connectivity and economic activity across Bihar and neighbouring states.

One of the key approvals is the construction of a four-lane greenfield access-controlled highway between Mokama and Munger as part of the Buxar–Bhagalpur High-Speed Corridor.

The 82.4 km stretch will be developed on the Hybrid Annuity Model at a cost of Rs 4,447 crore. Designed for vehicular speeds of up to 100 kmph, the corridor will reduce travel time on the busy route to about 1.5 hours and ease congestion on the existing two-lane road.




The project is expected to be a major driver of regional growth. The Munger–Jamalpur–Bhagalpur belt has emerged as an industrial hub with defence manufacturing units, a locomotive workshop, and food processing facilities, while Bhagalpur is well known for its silk and textile industries.

The new corridor will provide faster, safer access for freight and passenger traffic, benefiting hubs like Mokama, Barahiya, and Lakhisarai. It is also projected to generate over 33 lakh man-days of direct and indirect employment.

Alongside the highway upgrade, the Cabinet has cleared the doubling of the Bhagalpur–Dumka–Rampurhat railway line at a cost of Rs 3,169 crore. The 177 km stretch, which spans Bihar, Jharkhand, and West Bengal, will enhance line capacity, reduce congestion, and improve reliability on one of the busiest freight and passenger routes of Indian Railways.

The line passes through important districts and provides rail connectivity to major pilgrimage centres such as Deoghar and Tarapith. Once completed, the project will serve 441 villages across three states, directly benefiting nearly 29 lakh people, including residents of aspirational districts like Banka, Godda, and Dumka.

It is also expected to handle an additional 15 million tonnes of freight annually, including coal, cement, and fertilisers, while cutting down CO2 emissions by 24 crore kg, the equivalent of planting one crore trees.

Both projects fall under the PM Gati Shakti National Master Plan and are aligned with the government’s vision of boosting multi-modal connectivity, improving logistics efficiency, and driving inclusive economic development.