ADB: Private sector can boost Middle Corridor efficiency, support Azerbaijan’s green agenda

Private sector participation can significantly improve the efficiency of the Middle Corridor across the Caspian Sea, as well as support Azerbaijan's environmental initiatives, Report informs via the Asian Development Bank (ADB).

"With its unique geographical position, the country serves as a bridge connecting Central Asia with the South Caucasus and beyond. Moreover, its strategic role as a transit corridor between Europe and Asia supports the efforts of Asian countries to diversify trade routes and enhance regional connectivity. Scaling up trade finance, supply chain finance, and digital trade to draw on these assets will require considerable financing and forward-thinking, all of which can involve the private sector. Private sector participation can enhance the efficiency of the Trans-Caspian Middle Corridor and support Azerbaijan’s green agenda," the bank noted.

The Middle Corridor (TITR) connects China, Kazakhstan, the Caspian Sea, Azerbaijan, Georgia, Türkiye and Europe. In 2023, Azerbaijan, Georgia and Kazakhstan signed an agreement to establish a joint railway company, Middle Corridor Multimodal Ltd., to improve the efficiency of transit transportation.

The volume of cargo transportation along the TITR increased by 62% in 2024, reaching 4.5 million tons. In 2025, further growth is expected to 5.2 million tons, of which 4.2 million tons will be transported along the routes of the TITR participating countries. Of this volume, 2.5 million tons will be dry cargo (equivalent to 96,000 TEU), and 1.7 million tons will account for oil. By 2027, the capacity of the Middle Corridor may reach 10 million tons per year.