2010-20 – Armenia, Road Project, North-South road corridor: section in the southern part of the corridor

    North-South road corridor: section in the southern part of the corridor

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    Road Project - North-South Road Corridor crosses the territory of Armenia from the South to the North including Agarak-Kapan-Yerevan-Gyumri-Bavra highways and road infrastructures and is linked to the Georgian road network leading to Poti and Batumi ports. The whole Corridor runs 556 km from the border with Georgia at Bavra via Gyumri, Talin, Ashtarak, Yerevan, Goris, and Kapan, to the border with Iran at Meghri. The "North-South" road is part of the transnational motorway AH 82 interlinking Central Asian countries  Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan.

    Demand estimation from IDEA II-EaP transport model year 2030

    • Freight: 1650 tonnes/day
    • Passengers: 600 cars/day

    Technical description

    "North-South Road Corridor Investment Program" is subdivided into 6 separate tranches.The specific section in the southern part of the corridor includes reconstruction and technical supervision of:

    Tranche 4 (Gyumri-Bavra and Artashat-Qajaran-Agarak)

    • Gyumri-Bavra length: 70 km whose feasibility study is to be prepared under Tranche 3.
    • Artashat-Qajaran length: 60 km
    • Qajaran-Agarak length: 25-50 km

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    Investment amount

    The Gyumri-Bavra section is envisaged to be implemented by EIB resources estimated as about a loan of about 120 mln Euro and about 12 mln Euro of possible NIF grant. At the same time it can be co-financed by ADB. The 170 mln USD of southern section of Artashat-Qajaran will be financed by ADB. For the section Qajaran-Agarak, the RA Government has applied for loan proceeds under Anti-Crisis Fund of Eurasian Development Bank for up to 150 mln USD. The request has been accepted and the approval and signing of the Loan Agreement occurred in 2015. In parallel negotiations are conducted with current donors and new funding resources are examined to complete the Program and to replenish Program. The RA Government are foreseeing and planning also the feasibility study of Yerevan bypass and future implementation of this part also.

    Status

    Gyumri-Bavra section feasibility study is expected to be completed by July 2017.

    Expected impacts on transport, environment, social, other

    The implementation of the North-South Road Corridor Project results in improving Europe - Caucasus - Asia road communication at the intersection of West Asia and East Europe.

    Project objectives: facilitating communication with neighboring countries; expanding and facilitating access to foreign market towards Central Asia and Europe; developing major economic spheres and export expansion (industry, agriculture, mining industry, construction, tourism) etc.

    Main Goals: improving safety and comfort, reducing time and financial costs, integrating possible necessary telecommunication and other infrastructures.

    Source of funding

    ADB (Asian Development Bank)

    EIB (European Investment Bank)

    EADB (Eurasian Development Bank)

    References

      List of priority infrastructure projects on EaP endorsed at the EU and EaP Transport Ministers meeting (9 October 2013)

     

         Database of active projects in Armenia

     

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