This project has been awarded under the government's flagship road building programme - National Highways Development Project (NHDP) Phase-V.
"The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has given its approval for development of the six laning of Handia-Varanasi section of NH-2 in Uttar Pradesh," the Ministry of Road Transport and Highways said in a statement after the meeting.
The project will be built on the Hybrid Annuity Mode (HAM).
The project will lead to the improvement of infrastructure in Uttar Pradesh and reduce the time and cost of travel for traffic, particularly heavy traffic, plying on this stretch.
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The development of this stretch will also help in uplifting the socio-economic condition of the concerned regions of the state and would also increase employment potential for local labourers for project activities, the statement said.
It has been estimated that a total number of 4,076 mandays are required for construction of 1 km of highways.