The Kaligandaki Corridor, stretching 430 kilometers from Gaindakot in eastern Nawalparasi to the Korala border crossing in Mustang, has significantly enhanced regional connectivity and economic development across central Nepal. The blacktopped road now runs alongside the Kaligandaki River, enabling smooth vehicle movement through areas that were once difficult to access.

The corridor directly links six districts—East Nawalparasi, Palpa, Gulmi, Baglung, Myagdi, and Mustang—spanning both Gandaki and Lumbini provinces. It also intersects with major national highways including the Mid-Hill Highway, Madan Bhandari Highway, Siddhartha Highway, and Mahendra Highway.

According to the Maldhunga-Gaindakot Road Project Office in Palpa, the corridor has spurred the growth of over 50 new markets and significantly boosted economic activity. Settlements have expanded as people relocate closer to the corridor, and there has been a noticeable increase in land transactions and rising real estate values.

The corridor is also being promoted as a trade and religious tourism route. Project data shows the following distribution: 78 kilometers of the route lie in eastern Nawalparasi, 87 kilometers in Palpa, 39 in Gulmi, and 36 in Baglung. The remaining sections extend from Maldhunga to Beni (8 km), Beni to Jomsom (82 km), and Jomsom to Korala in Upper Mustang (101 km).

The route directly connects key district headquarters including Mustang’s Jomsom, Myagdi’s Beni, and Chitwan’s Bharatpur. It also provides improved access to Parbat’s Kushma, Baglung Bazaar, and Palpa’s Tansen. Baglung’s Waleya Airport and the Korala border point have become operational following the corridor's development.

The corridor has also improved north-south trade logistics, especially in the Mid-Hill region, reducing transportation time and improving market access. For example, travel from Butwal to Muktinath, which previously took two days, can now be completed in a single day. The new route from Maldhunga to Butwal via Tansen has shortened travel distance by 75 kilometers compared to the previous route via Pokhara.

Officials state that the corridor provides more direct access from Gulmi and Arghakhanchi to destinations such as Syangja, Pokhara, Narayangadh, and the eastern Terai. Residents of the Kaligandaki region, including those in Gulmi, can now reach their district headquarters much faster—cutting travel time from multiple districts to just a couple of hours.