The Asian Development Bank has agreed to lend Azerbaijan a further $250 million to finance construction of a new motorway between Jalilabad and Shorsulu and provide capacity development, the bank said in a statement.
With progress having been made in the implementation of the first tranche, the land acquisition and resettlement plan (LARP) implemented, and works contractor mobilized, the Azerbaijani government requested ADB in the second PFR for Tranche 2 to help finance Project 2. Project 2 aims to develop Jalilabad to Shorsulu motorway section and provide sector capacity development. Tranche 2 will be the last tranche of the MFF.
The tranche 2 Project is a high priority of the government and is included in the Road Network Development Program under the Transport Sector Development Strategy. It forms part of the country s primary north south highway linking the country s capital, Baku, to the neighboring countries. Currently, parts of the existing road section are in poor condition, resulting in high transport costs, long delivery times, and road traffic crashes. This constitutes an impediment to non-oil sector growth and poverty reduction in Azerbaijan, as well as regional trade development. Construction of the proposed motorway section completes the southern corridor and will promote national and regional trade, thus contributing to the achievement of the objectives of the state program on poverty reduction and economic development.
Bakudaily.az
