AIIB allocates 159 mln euros to Georgia for Trans-Caspian Corridor

TBILISI. Sept 28 (Interfax) - The Georgian Finance Ministry has signed a loan agreement with the Asian Infrastructure Investment Bank (AIIB) for 158.5 million euros as part of the large-scale infrastructure project Trans-Caspian Transport Corridor - Georgia Accessibility and Transport Enhancement (TC-GATE), the Finance Ministry said.

"The project envisages the construction of a four-lane road from Badiuri to Bakurtsikhe (32 km) along the Kakheti highway, as well as a connecting highway from Gurjaani to Telavi (36.6 km)," the ministry said.

The World Bank approved a loan of 158 million euros in July for implementing this project, the Finance Ministry said.

TC-GATE, worth $729 million, is financed by three international financial institutions - the World Bank, the Asian Development Bank and the Asian Infrastructure Investment Bank.

In June, the Finance Ministry signed a loan agreement with the International Bank for Reconstruction and Development (IBRD, part of World Bank Group) for $372 million for the purchase of electric locomotives and the modernization of the infrastructure of Georgian Railway as part of the project.

The Trans-Caspian International Transport Route (TITR) connects China and Europe through Kazakhstan, the Caspian Sea, Azerbaijan, Georgia and Turkey. In 2025, freight transportation along the route amounted to around 4.7 million tonnes, and it is expected to be 5.5 million tonnes in 2026.