The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, on Tuesday approved the construction of a 6-Lane Access-Controlled Capital Region Ring Road (Bhubaneswar Bypass) in Odisha at a total capital cost of Rs 8,307.74 crore. The 110.875 km project will be developed on Hybrid Annuity Mode (HAM).
At present, the Rameshwar–Tangi stretch of the existing National Highway faces severe congestion due to heavy traffic moving through urban centres like Khordha, Bhubaneswar, and Cuttack. The new Greenfield Ring Road aims to divert heavy commercial vehicles away from these cities, thereby improving freight efficiency, reducing logistics costs, and promoting socio-economic development in Odisha and neighbouring eastern states.
The alignment will integrate with three National Highways (NH-55, NH-57, NH-655) and one State Highway (SH-65), offering seamless connectivity to economic and social hubs across the region. It will also connect with 10 Economic Nodes, 4 Social Nodes, and 5 Logistic Nodes, along with key infrastructure such as Bhubaneswar Airport, Khordha Railway Station, a proposed Multi-Modal Logistics Park, and two major ports (Puri and Astrang).
On completion, the project is expected to significantly strengthen regional connectivity, linking major economic and religious centres, boosting trade, and enabling industrial growth. It is also projected to generate 74.43 lakh person-days of direct employment and 93.04 lakh person-days of indirect employment, creating new opportunities for local communities.
With an estimated traffic volume of 28,282 Passenger Car Units (PCU) per day (FY25), the Bhubaneswar bypass will serve as a vital corridor along the Kolkata–Chennai economic route, opening new avenues for growth, development, and prosperity in Odisha.