WB offer $500 for development of transport infrastructure in Azerbaijan
The World Bank (WB) offers $500m loan for the reconstruction of the transport infrastructure, Musa Panahov, the head of the Azerbaijani Deputy Transport Minister, told Trend. The Funds will be spent on the reconstruction of automobile routes of regional significance.
The World Bank (WB) takes interests in financing some motorways in the northern direction. Under the additional funds it is planned to reconstruct the road running from Muganly to Yevlakh and from Yevlakh to Beylagan (southern direction). It is also panned to reconstruct the route running via the territory of Zakatala and Balakan regions.
Panahov said that the WB funds allotted at the terms of the International for Reconstruction and Development (IBRD), yield those allotted by the IAD for terms. However, they could well compete with the terms of the commercial banks.
Earlier, Gregory T. Jedrzejczak, new WB Country Manager for Azerbaijan With development of Azerbaijans economy forecasted for the closest 15 years the World Banks policy for the country will change as well. In the future, Azerbaijan will receive credits from the International Bank for Reconstruction and Development instead of todays from International Development Association. IBRDs issues credits on stricter terms than IDA and thus our country shall prove WBs preference as more profitable partner, he stressed.
Investment credits, he said, will take more place in the work between Azerbaijan and the WB than earlier those directed at maintaining governmental budget. The credits will be approved on commercial terms. Moreover the bank will avoid the terms that were set while approval of credits. The consultations by the bank will be of recommendation character.