ADB approves $302M loan for Baku Metro upgrade

The Asian Development Bank (ADB) has approved a $302.38 million loan to modernize the signaling system and digitalize operations of the Baku Metro, Report informs, citing the ADB.

It was highlighted that the financing will help make metro services in Baku safer, more reliable, and more efficient, while ensuring the effective operation of the expanding metro network.

The project is part of the Azerbaijani government's $2.6 billion Baku Metro Expansion Program, which includes the construction of nine stations, two depots, and 20 kilometers of new tunnels, the purchase of 300 additional metro cars, and the modernization of metro operating systems.

The initiative aims to expand metro coverage and passenger capacity while helping reduce traffic congestion in Baku and surrounding areas.

"This project marks an important milestone in transforming the Baku Metro into a future-ready urban transport system through digital technologies. Advanced signaling technology and integrated digital operational systems will make existing services safer and more reliable while providing the foundation for the efficient operation of Baku's rapidly expanding metro network," said Sunniya Durrani-Jamal, ADB Country Director in Azerbaijan.

Operated by the state-owned Baku Metro CJSC, the metro system is a key component of the capital's public transport network. It currently serves 27 stations along approximately 41 kilometers of track and carried around 220.4 million passengers in 2025.

The project will replace the existing signaling system with modern communications-based train control (CBTC) technology and upgrade the operations control center.

The investment is expected to allow trains to run at shorter intervals during peak hours while minimizing operational incidents that could disrupt services or affect passenger safety.

In addition to signaling upgrades, the project includes the deployment of integrated digital systems for corporate management, asset management, cybersecurity, passenger information, and crowd management. These systems will be supported by upgraded data centers and secure network infrastructure.

The investment will enable Baku Metro to make more effective use of operational data, improve maintenance and decision-making processes, and enhance energy efficiency.

The project will also strengthen Baku Metro's institutional and digital capabilities through technical training and workforce development. In addition, it will encourage greater participation of women in technical and digital roles through recruitment, training, certification, and career development programs.

The project's total cost is estimated at $515.07 million. The Asian Infrastructure Investment Bank (AIIB) is expected to provide $79.98 million in co-financing, while the Azerbaijani government will contribute $132.71 million.