New Zealand Transport Agency Central Otago manager John Jarvis said State Highway 8B was being widened in that area and a footpath had been constructed from Bell Ave to Barry Ave, next to the Cromwell golf course boundary.
The highway had been 8m to 8.5m wide and would be widened to 10m, to give a shoulder of about 1.5m.
"While we were doing that work, we took the opportunity to do some footpaths work to give people a safe path to walk or cycle along," Mr Jarvis said.
More people were walking or cycling along the highway these days as homes were built on the outskirts of the town.
The section of highway from Deadmans Point bridge into town also carried a substantial amount of traffic, with more than 4500 vehicles using it each day.
"With any stretch of highway that has more than 4000 vehicles a day using it, our aim is to have a 10m wide road, so we're bringing this piece up to standard," he said.
The cost of the complete project, road widening and footpath construction, was $117,000 and work would be completed soon.
Mr Jarvis said there was a possibility the footpath might be extended further, out to the Alpha St intersection.