The Kiewa Valley Highway between Wodonga and Tawonga is now safer for drivers, cyclists and pedestrians following the completion of safety improvements.
Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development Michael McCormack said the works would also support northern Victorian industries through increased freight efficiency.
"We recognise the role an efficient road network plays in supporting a region's economic prosperity, which is why this Kiewa Valley Highway upgrade is so essential," Mr McCormack said.
Senator for Victoria Bridget McKenzie said the $3.5 million Stage 1 works included sealed road shoulders, targeted intersection upgrades and safety barriers installed at high-risk locations.
"These works are all part of the Federal Government's plan to get Australians home to their families sooner and safer, no matter where they live," Senator McKenzie said.
"It's great to see Stage 1 complete and I'm looking forward to seeing work get under way on the second stage of the Kiewa Valley Highway Upgrade which will include improvements at the intersections of Boyd Road, Gundowring and Kergunyah Road, Kergunyah.
"Works will start later this year, weather permitting."
Victorian Minister for Roads, Road Safety and the TAC Jaala Pulford said the safety improvements were critical in reducing the risk of accidents and serious injury.
"These works have delivered sealed road shoulders to reduce the risk of crashes and provide safer separation of cyclists from traffic," Ms Pulford said.
Victorian Member for Benambra Bill Tilley said reflective markers down the centre of the road and new warning signs would help drivers stay in their lanes around sharp bends and under poor conditions at night and in fog.
"Kiewa Valley Highway is an important local, tourist and freight route from Wodonga to Mount Beauty and these improvements will help road users to safely reach their destinations," Mr Tilley said.
The $8 million Kiewa Valley Highway Upgrade is jointly funded by the Australian and Victorian governments on a 50:50 basis, with all stages expected to reach completion by mid-2020.
