| Project Detail |
Location:
Armenia
Project number:
51293
Business sector:
Transport
Notice type:
State
Environmental category:
A
Approval date:
01 May 2024
Status:
Concept Reviewed
PSD disclosed:
26 Feb 2024
Project Description
Provision of a sovereign loan of up to EUR 225 million to co-finance the construction of the 24-km Southern section of the Sisian - Kajaran road (the "Project"), part of the international North-South Road Corridor ("NSRC").
The Sisian - Kajaran road also consists of the Bargushat tunnel and the Northern road section, expected to be financed by the European Investment Bank ("EIB"), the Asian Development Bank ("ADB"), and the Government of Armenia.
Project Objectives
The Project is critical for Armenias national and regional connectivity, and is expected to substantially reduce the travel distance (from 130 km to 60 km) and the travel time (from the current 3-4 hours down to one hour) and provide a faster and safer connection between Armenias remote southern region of Syunik with Yerevan, the rest of the country and, subsequently, the EU via Georgia and the Black Sea.
The Project is included under the EU Global Gateways, and it is also aligned with two EU Flagship Initiatives for Armenia under the EUs Economic and Investment Plan, including Flagship No. 2 ("Improved land transport connectivity, including through the implementation of priority projects identified in the Indicative Trans-European Transport Network ("TEN-T") Investment Action Plan") and Flagship No. 4 ("Building Resilience in the Southern Regions of Armenia"), which aim to contribute to the sustainable socioeconomic and institutional development of Syunik region, Armenias southern and less connected area. The Project is also a part of EBRDs response for Armenias refugee crisis, as it will contrirbute towards resilience of the most impacted southern region of Syunik. |
