Construction Sector Faces Crisis Due to Price Hikes

The West Asian conflict has led to a significant increase in petroleum product prices, causing construction material costs in Nepal to rise by up to 107 percent. This has jeopardized approximately 30,000 development projects nationwide, prompting protests from contractors demanding scientific price adjustments, contract extensions, and budget management. The Department of Roads has initiated a study to address these issues, considering legal and technical hurdles in price adjustment provisions.