EBRD to loan $255mn for construction of key road project in Armenia
The road will improve Armenia’s local, regional, and international connectivity, providing better access to international markets via the Black Sea
A US $255mn loan has been approved by the European Bank for Reconstruction and Development (EBRD) for the construction of the southern section of Armenia’s Sisian-Kajaran road. The funding will enable the Government of Armenia to construct 24km of a new southern road section between Sisian and Kajaran, forming part of the North-South Road Corridor.
The project is said to be the largest road infrastructure project ever financed by the EBRD in Armenia.
The loan agreement was signed by Armenia’s Minister of Finance, Vahe Hovhannisyan, and EBRD Managing Director of Sustainable Infrastructure Group, Nandita Parshad, during the EBRD Annual Meeting and Business Forum in Yerevan.
The project received technical cooperation funding from the European Union (EU) to conduct the feasibility study and environmental and social impact assessment.
Nandita Parshad, EBRD Managing Director, Sustainable Infrastructure Group stated, “We appreciate Armenia’s aspiration to develop a transport and logistics infrastructure that will enhance its regional connectivity and integration with external markets. We support this project because it meets our strategic objectives in Armenia and the region. We are also grateful to our partner, the European Union, which provided technical cooperation support to ease the implementation of this important initiative.”
Once complete, the road will improve Armenia’s local, regional, and international connectivity, providing better access to international markets via the Black Sea.
