Shimla, Oct 2 : The central government has approved a road project costing Rs. 5.49 billion for the four-laning of the Parwanoo-Solan National Highway 22 in Himachal Pradesh, state Public Works Minister Gulab Singh said Friday.

"The central government Thursday gave green signal for four-laning of Parwanoo-Solan section of the national highway. For this, it has allocated Rs. 549 crore," Singh told IANS.

He said the project would be allotted on design, build, finance and operate (DBFO) basis. It is part of the phase III of the National Highways Development Project.

"The strengthening of the highway would help the smooth flow of traffic. It's a great relief for the tourism industry," the minister added.

Parwanoo is the gateway to Shimla, Solan and Kinnaur districts for a majority of tourists from Punjab, Haryana and New Delhi.(IANS)