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The construction of an international airport in Bhairahawa aimed to boost tourism, stimulate the economy, and create employment, but the opposite is actually the case.

Infrastructure creates actual cash flow for laborers and their families as it is being built. Over time, it affects the economy both directly and indirectly, having a multiplier effect in particular on employment generation.

Largely invested infrastructure has gone to waste in Rupandehi, home of the industrial city Bhairahawa, and Lumbini, a Buddhist monument recognized as a World Heritage Site by UNESCO in 1997.

Large-scale infrastructure projects such as the Gautam Buddha International Airport, the international convention center, the meditation center, and the industrial zones have become actual white elephants because they are unable to produce revenue.

A large portion of the underutilized infrastructure has begun to be reclaimed by nature.

Since 2010, discussions about constructing an international airport have resulted in the development of substantial infrastructure, which includes numerous opulent hotels.

An expanding transportation network and an increasing number of enterprises transformed the Butwal-Bhairahawa metroplex into a major economic hub.

In the southern city of Bhairahawa, Nepal opened its second international airport in May 2022, although as of currently now, no international flight makes stop there.

Building an international airport in Bhairahawa was intended to boost the local economy, increase tourism, and generate employment. However, the reality is entirely different.

In search of better employment opportunities overseas, traders are closing their stores.

Private industry investment was also substantial. The industry was impacted when the completed project began to sit idle, and numerous businesses were on the verge of going bankrupt.

This event in Lumbini is referred to by economists as a "cascading failure"—a breakdown in which the failure of one or a few interconnected pieces causes the failure of other parts in the system.

The National Statistics Office's Hem Raj Regmi, deputy chief statistician and data curator, stated that although there was significant government and private sector investment in Lumbini province, the pace of growth has slowed. "Even the operating costs cannot be raised by enterprises."

From a low base of 1.99 percent growth in the previous fiscal year, Lumbini province was expected to have grown at 4.05 percent to a GDP of Rs814 billion in the most recent fiscal year.

An estimated 14.26% of the country's GDP comes from Lumbini.

Gas and electricity had the greatest value-added growth rate in Lumbini, rising by 28.93 percent, while the manufacturing sector was predicted to contract by a negative 1.43 percent during the most recent fiscal year.

The majority of Lumbini's finished infrastructure projects have turned into white elephants since their costs have increased rather than their revenue.

Constructed in ward 10 of Butwal Sub Metropolis at an expenditure of Rs1.11 billion, the Butwal International Convention Center is currently empty.

There are thirteen halls at the center, and each can hold 2,700 people. Of the thirteen, the auditorium is the largest.

The convention center was constructed by the government to host conferences and events on a national and international scale, however it is not making much money. August 2022 marked the center's opening, with construction having begun in 2014.

According to officials, the center has trouble paying its employees. The center is unmaintained and underutilized, but shrubs have grown all around it.

The head of the Butwal International Convention Center project, Dharmendra Panthi, reported that 22 events or activities totaling Rs4 million were held over the previous three years. Since the provincial government hasn't approved the operation rules in three years, the center is currently shuttered.

Panthi did, however, mention that they have occasionally rented the venue upon request.

For a full day of events, the center charges Rs 96,000.

During a recent event held in the convention center, Prabin Pathak, the president of the Nepal Hoteliers Association, stated that the infrastructure is in poor condition as a result of infrequent maintenance.

According to Pathak, "it will be a waste of tax money if the building is not used properly." "The stench from the restroom makes it difficult to sit in the hall, and the bathroom faucets are dry."

"Infrastructure development is becoming more and more popular in Nepal, although maintenance is frequently neglected. It's sad, said Pathak.

"Those that lose money on these ventures are not responsible for them. In a similar vein, concerns are voiced regarding the build quality. The structural integrity of most projects is seriously compromised by the use of low-quality materials.

Built close to Lumbini, the site of the Buddha's birth, a 5,000-person hall has not been used for anything other than a few special events. A sum of Rs720 million was invested in its construction.

The Lumbini Development Trust's member-secretary, Sanuraja Shakya, stated that a charge must be paid if a social organization wishes to hold an event in the center.

Shakya stated that other activities, particularly those involving entertainment, are prohibited because the location is a meditation center.

When the roof began to leak shortly after the project was finished, concerns were voiced over the construction. Later on, it was fixed.

Similarly, Bhairahawa's Special Economic Zone (SEZ) has long since ceased to function completely. Since there are no factories in the SEZ, the region has become a jungle. The SEZ's construction began in 2003, and it was officially opened in 2014.

The Bhairahawa Special Economic Zone, which is situated in south-central Nepal, contains 69 industrial plots ranging in size from 1,400 to 3,700 square meters.

A few businessmen have reserved sites, but because the government has not delivered on its promises of amenities and services, they have not put up their plants. Among other things, the government had promised to supply customs, banks, insurance, and energy around-the-clock in the Special Economic Zone (SEZ).

According to Saput Dumre, assistant director of SEZ, "new entrepreneurs book plots every year but do not set up their factories due to associated tough conditions."

According to Dumre, industry leaders are worried about the export requirement. The standards for SEZs were modified three months ago, and companies renting space within them are required to export at least thirty percent of their manufactured items.

Ujjwal Prasad Kasaju, a central member of the Federation of Nepalese Chambers of Commerce and Industry, stated, "There is a water tank in the SEZ, but it has no water, the weighing machine does not work, the petrol pump is defunct, there are no parking areas, and the road is covered in thick bushes."

Then there's the recently constructed Gautam Buddha International Airport, which looks fancy but has nowhere to go. After more than two years in operation, the airport is currently accepting applications for flight slots from foreign airlines.

After ten years and approximately Rs40 billion invested in the project, Nepal's second international airport was finally completed, however despite the build-up, the anticipated wave of eager carriers has not materialized.

Located in south central Nepal, spanning about 787 bighas (533 hectares), the airport is a notable feature.

With a terminal structure spanning 15,169 square meters, the state-of-the-art facility can accommodate about one million people annually. The runway at the airport is 3,000 meters long, sufficient enough to accommodate the biggest commercial aircraft.

But no commercial aircraft desires to land at the airport.


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