ADB Ready to Invest $200mln in Azerbaijan’s Infrastructure

Business Materials 22 November 2008 13:26 (UTC +04:00)

Azerbaijan, Baku, 22 November /corr. Trend U.Ismaylova / Asian Development Bank (ADB) plans to yearly allocate $200mln for the modernization of the infrastructure of Azerbaijan, ADB Deputy Director General for Central and Western Asia, Sean O'Sulivan said in Baku.

He said that in 2009 the Bank will continue investing into the water and energy sectors of the country, and in 2010 - in the renovation of railway infrastructure.

"Azerbaijan is the first in the list of reformer countries of business environment, and serious control was established in the country over the investments, which stimulates the attraction of foreign investors," said the ADB Vice President Xiaoyu Zhao.

The transport projects are realized within the Multitranche packet (Multitranche Financing Facility - MFF) totaling $500mln approved in August 2007. The Vice President said that mainly the financing is directed towards east-western highway. In 2009 the third MFF tranche will be allocated for the section of this highway - Ganja-Gazakh.

ADB proposes Azerbaijan financing railway infrastructure also within the Multitranche packet totaling $550mln.
Asian bank already allocated $30mln for the improvement in the water-supply system and sanitary services in the country, but due to the expansion of the zone of scope of the project and rise in price of construction materials, the cost of this project will be reviewed.

The government has been co-operating with the ADB since 1999, and up to now, the bank allocated for the country $304mln credit under state guarantee.

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