The Asian Development Bank (ADB) has provided technical assistance (TA) in the amount of $225,000 to complete a diagnostic study for the development of the rail corridor between Alat and Nakhchivan, Report informs referring to ADB.
The TA is aligned with the key area of assistance to increase the country's capacity as logistics and trade hub, as outlined in the country operations business plan 2021-2023.
“One of Azerbaijan’s current infrastructure development priorities is the modernization of the railway line connecting Baku and Alat Port with Nakhchivan. The railway line between Alat and Horadiz (205 km) is still in working condition but was built in Soviet time and will need full rehabilitation. For the first section, Alat-Osmanli (60 km), design documents are available. For the section, between Osmanli and Horadiz (145 km, currently single track), no design or other documentation is available,” the bank noted.
In February 2021, the government has started constructing the Horadiz-Agbend section (100 km, crossing liberated area) as a matter of priority, because it was fully destroyed during occupation.
To assess the economic potential of the Alat-Nakhchivan rail corridor and to identify viable investment projects, analyses are required of future rail freight and passenger demand, taking into account competition from road transport and alternative routes; infrastructure investment needs; required investments in rolling stock and other facilities, such as multimodal terminals; technical and operational options and obstacles to connect the rail corridor with the networks of Iran, Armenia and Turkiye; the economic viability of rail investment options; implementation planning, and required organizational capacity for business development and marketing.