EDB experts inspect proposed locations of the North-South transport corridor in Armenia
Moscow, 8 April 2014. A multilateral mission visited the proposed locations of the North-South road transport corridor in Armenia. The mission comprised experts from Eurasian Development Bank (EDB), representatives of the North-South project group, and technical consultants from Egis (France).
The experts inspected the proposed project locations and evaluated the current condition of separate sections of the transport corridor on the route from Kajaran to Agarak (on the Armenia-Iran border).
The EDB experts took part in the mission to analyse the routes proposed by the consultant and collect information necessary for the EurAsEC Anti-Crisis Fund (ACF) to take the decision whether to finance this project from its funds.
This US $100 million project is being prepared by EDB, as the ACF Resources Manager, in cooperation with Asian Development Bank (ADB).
In June 2013 the ACF Council approved the blueprint of the investment project to build the North-South road transport corridor (Phase 4) and EDB’s report on the preliminary application for finance from the ACF funds.
In March 2014 representatives of the Armenian government stated during the negotiations with EDB that the project feasibility study would be ready in April. If the ACF Council finally approves this project (provisionally in June), project finance can be provided in 2014 already.
The international North-South transport corridor is intended to provide a road connection between Europe and India through Iran and the Caucasus. It will cross Armenia from the Iranian border in the south to the Georgian border in the north.
The main advantages of this route (in particular, compared to the sea route through the Suez Canal) are that it halves the distance and cuts the cost and time of freight transportation.
The North-South road is also part of the AH-82 international highway, which connects Central Asian countries. Therefore, this route is expected to help the countries in the region and, in the first place, Kazakhstan to redirect their exports through Russia to the Black Sea and the Persian Gulf countries.
Eurasian Development Bank (EDB) is an international financial institution founded by Russia and Kazakhstan in January 2006 with the mission to facilitate the development of market economies, sustainable economic growth, and the expansion of mutual trade and other economic ties in its member states. EDB’s charter capital exceeds US $1.5 billion. The member states of the Bank are the Republic of Armenia, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, the Russian Federation, and the Republic of Tajikistan.
Read more about EDB at http://www.eabr.org/
The EurAsEC Anti-Crisis Fund (ACF) amounting to US $8.513 billion was formed on 9 June 2009 by the governments of the same six countries. The objectives of the ACF are to assist the member countries in overcoming the consequences of global financial crisis, ensure their economic and financial stability, and foster integration processes in the region. The ACF member countries signed the Fund Management Agreement with Eurasian Development Bank giving it the role of the ACF Resources Manager.
Read more at http://efsd.eabr.org/
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