BAKU, Azerbaijan, August 15. The Asian Development Bank (ADB) is considering additional financing for Azerbaijan's transportation sector, Trend reports.
The ADB's focus is on the railway sector development program, which involves allocating $131.5 million to complete the reconstruction of 166 kilometers of double-track railway between Sumgayit and Yalama.
This funding is expected to address delays caused by the pandemic and to complete the project by the end of 2024.
The main goal of the project is to enhance the quality of railroad services and the financial sustainability of Azerbaijan Railways (ADY). ADB will collaborate closely with ADY to ensure the project meets environmental and social safety standards, with involvement from both local and international partners throughout its implementation.
As of April 1 this year, the total financing volume for projects between Azerbaijan and ADB has reached $4.2 billion. According to the Ministry of Finance, the Azerbaijani government has attracted $3.2 billion in loans, while state-owned enterprises, backed by state guarantees, have undertaken projects worth $930 million. Direct financing to the private sector totaled $62 million, with additional grants and technical assistance provided to support ADB's projects in the country.