HYDERABAD: The National Highways Authority of India (NHAI) has issued a Letter of Award (LOA) for four-laning the Gudebellur–Mahbubnagar section of NH-167 in Telangana.
The 80 km project forms part of the Hyderabad–Panaji Economic Corridor and was approved by the Cabinet Committee on Economic Affairs (CCEA) in February 2026. It has been awarded to KNR Constructions Ltd at a cost of Rs 1,734 crore under the Hybrid Annuity Mode (HAM).
The scope includes construction of five major bridges, 36 minor bridges, 260 culverts, 11 vehicular underpasses, 22 light vehicular underpasses (LVUPs), one railway overbridge/underbridge (RoB/RUB), 48 km of service roads and 56 km of slip roads.
At present, the Gudebellur–Mahbubnagar stretch faces delays, particularly in towns and villages such as Gudebellur, Magnoor, Makthal, Marikal, Devarkadra, Jaklair, Yeligandla and Banderpally. The four-laning is expected to reduce congestion, improve road safety and facilitate smoother movement of freight and passengers.
The project is also expected to support multimodal connectivity by linking three PM Gati Shakti economic nodes, nine social nodes and seven logistics nodes. It will improve access to Hyderabad’s industrial and commercial centres, including the Hyderabad–Bengaluru NICDC corridor, pharmaceutical and medical clusters, and Special Economic Zones (SEZs).
The upgraded highway will connect Mahbubnagar, Narayanpet, Raichur, Devarkadra, Makthal and Hyderabad, and improve access to nearby religious and tourist destinations.