The Azerbaijani Transport Ministry intends to set up the construction and reconstruction of the Baku-Shemakha motorway in 2006, the Ministry told Trend.
At present the development of feasibility study of the project, as well as a working project on construction and reconstruction of the Baku-Shemakha motorway is under development. The work is implemented at the expense of the World Bank funds with German company KOKC, which designed the feasibility study of the motorway under the Great Silk Route.
Upon the development of the feasibility study and working projects the concrete cost of the Baku-Shemakha-Muganli motorway project will be defined. The Azerbaijani government and the World Bank has reached agreement on approval of first installment of the credit ($30m) for financing the project on motorway construction and reconstruction of the project. The agreement was achieved during the talks in Baku early December 2005 with the World Bank mission headed by Olivier Le Berr, the head of the motorways development project. A credit agreement on the project will be more probably singed early January 2006.
The cost of the Baku-Shemakha-Muganly route with the length of 124km grew in connection with the rise of prices of construction materials and salaries. If the construction work amounted to $70m last year, today it approximately costs $100m.