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New €62.6 million Bridge to link Armenia and Georgia

PROGRAM / PROJECT NEWS

24 November 2012 – London – The European Bank for Reconstruction and Development (EBRD) has announced the financing of a new bridge at Bagratashen, the main border crossing point between Armenia and Georgia. The €10.3 million loan to the Armenian government is the EBRD’s contribution towards the financing of the Northern Corridor Modernisation Project.

The upgrade of cross-border infrastructure is a priority for the Armenian government. In addition to the EBRD, the European Investment Bank, European Union, Neighbourhood Investment Facility and United Nations Development Programme, jointly with the government of Armenia, will finance this project, the total cost of which is €62.6 million. 

Photo: Agreement being signed on 22 November between Armenian Minister of Finance Vache Gabrielyan and Paul-Henri Forestier, EBRD Director for Caucasus, Moldova and Belarus; photo courtesy of Public Radio of Armenia.

The Northern Corridor Modernisation Project includes the reconstruction of existing infrastructure to meet international standards, as well as the construction of new buildings at the three border control facilities. The improved border crossing points, equipped for vehicles and pedestrians, will have a more efficient and increased processing capacity, as well as providing a multi-directional road crossing for international cargo and passenger traffic. Located 200km from Yerevan, Bagratashen is the main land transport corridor connecting Armenia, through Georgia, with the rest of the world.

“We are delighted to be part of this joint effort. Improvement in the border crossing conditions will create a more efficient economic transport corridor facilitating regional trade and passenger flows.” said Sue Barrett, EBRD Director for Transport.

“The EBRD is firmly committed to supporting the development of reliable and modern infrastructure in its region.  We look forward to continuing our successful cooperation with the country’s authorities and other international organisations in supporting the further development of Armenia,” added Paul-Henri Forestier, EBRD Director for Caucasus, Moldova and Belarus.

Since the beginning of its operations in Armenia, the EBRD has invested approximately €579 million in over 110 projects, of which approximately €90 million has been in the country’s infrastructure sector.  For more information about EBRD projects in Armenia, go to http://www.ebrd.com/pages/country/armenia.shtml

The European Bank for Reconstruction and Development (EBRD) was established in 1991 to nurture the private sector in central and eastern Europe and ex-soviet countries. Today the EBRD uses investment to help build market economies and democracies in countries from central Europe to central Asia. The EBRD is the largest single investor in the region and mobilizes significant foreign direct investment beyond its own financing. Owned by 61 countries and two intergovernmental institutions, the EBRD provides project financing throughout the region. For more information, visit http://www.ebrd.com/index.htm

Source: EBRD