KATHMANDU, Sept. 13 (Xinhua) -- A Chinese company on Thursday submitted the feasibility study report of a proposed monorail in Kathmandu Metropolitan City (KMC), concluding that such project could be developed in the Nepal's capital city.

China Railway 25th Bureau Group Co., Ltd (CRCC) started feasibility study of the proposed project after it signed a Memorandum of Understanding (MoU) with the KMC in May.

"The feasibility report concluded that the project could be developed along the 27-km Ring Road that has surrounded the key city areas of Nepal's capital city," Mahesh Kafle, director at Public Private Partnership Unit of KMC, told Xinhua on Thursday.

If developed, it will be the first ever monorail project in Nepal and will provide important alternative transportation and ease traffic congestion.

Speaking at the report handover ceremony, KMC Mayor Bidya Sunder Shakya praised the Chinese company for completing the project ahead of time. He said he would leave no stone unturned to materialize the project.

As per the MoU, the Chinese company was supposed to conduct the study along the selected alignment including technical, financial, economical feasibility as well as institutional sustainability. It was also mandated to conduct social and environmental impact assessments for the feasible alignment and prepare preliminary cost estimates.