The new road will start near the Big Ball.
Work on planning of the final section of the ring road around Naas will start soon and will take about 18 months.
According to Kildare County Council funding for the project – which will link the Dublin Road (near the Big Ball) with the Blessington Road – will come from the Department of Housing, Planning, Community and Local Government.
The road will link with the existing ring roads which connect Sallins Road to Newbridge Road and Newbridge Road to the Kilcullen Road to the new road.
The new section, when completed, will mean there is a road completely encircling Naas.
Naas councillors were told at a Naas Municipal District meeting that plans have been made to prepare tender documents for the project and the planning process will take a year and a half for what is a large scale project.
Talks will take place with landowners at the same time as the design work is being done.