Kathmandu. The government has decided to provide tax exemptions for the purchase and export of necessary materials for the expansion of the second section of the ring road. With this decision, the way has been opened to proceed with the process of expansion of the ring road of the second section, which has been stopped for a long time. It was given to China for the construction of the second section of the Kathmandu Ring Road ie Kalanki-Vasundhara. The Cabinet meeting on Tuesday decided to give tax exemption. 

This decision was taken by the government with the consent of the Ministry of Finance and the proposal of the Ministry of Physical Infrastructure and Transport. It is stated in the decision of the Council of Ministers to give tax exemption on the matters mentioned in the implementation agreement of the Kathmandu Ring Road Improvement Project from Kalanki to Vasundhara, which will be constructed and upgraded with the assistance of China's grant.

The contractor company selected for the construction of the second section will get this facility. Tax exemption will be given on import and internal purchase of goods required during construction. The expansion of the ring road built with Chinese subsidies is also being done with China's financial and technical support. In that, the government is going to give tax exemptions of all kinds in the expansion of the second section as in the first section Koteshwar-Ekantakuna-Kalanki. Along with this, the further process of construction of the ring road will proceed. Now there will be an 'Implementation Agreement' between Nepal and China. The joint secretary of the Ministry of Physical Infrastructure and Transport will sign on behalf of Nepal.