The Centre approved the Kaliagura-Baunsaguar section of the NH to be built at around ₹1,539 crore. The corridor will run through Koraput and Nabarangpur districts and intersect two existing highways near Kunduli and Kamara. As per the detailed project report (DPR), two tunnels of around five km will be constructed in the mountain ranges of Eastern Ghats. Chief General Manager (technical), NHAI, Ram Prasad Panda informed that the tunnels measuring around 3.5 km and 1.5 km will be built in Sunki ghati. The highway has 124 km in Nabarangpur district and 116 km in Koraput.
Financed by the Asian Development Bank (ADB), the NH project will improve the efficiency of freight movement and boost exports besides easing traffic. The greenfield project starts from Abhanpur near Raipur in Chhattisgarh and ends at Sabbavaram in AP and is expected to be completed by 2025.