The Malaysian government is in talks to fund the Rs.30 bn Colombo-Kandy Highway, on a Build, Own and Transfer basis (BOT), starting 2005.
Malaysian officials are expected to come back with a proposal to assist the project, with construction of the highway likely to be contracted out to a Malaysian party.
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rnThe government has developed a 3 km corridor trace for the highway, but the new contractor will have to develop detailed designs.rn
rnldblquote Construction costs run into Rs.24 bn, with the balance Rs.6 bn for project designs, land acquisition and so on
dblquote , Road Development Authority officials said.
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rnThe highway will run through 3 districts, beginning from Kadawatha, through Gampaha to Katugastota and is expected to grow traffic to 60,000 vehicles from the current 20,000.rn
rnThe new highway will expand the existing two-lane A1 road, linking Colombo to Kandy.rn
rnThe existing two-lane highway is frequently used and often sees heavy traffic, connecting Colombo to the Central,