In 2007 SOFAZ to Allocate Finances for Reconstruction of Georgian Section of Baku-Tbilisi-Kars Railway

Business Materials 16 March 2007 11:24 (UTC +04:00)

Azerbaijan, Baku / corr. Trend I.Khalilova / The Executive Director of the State Oil Fund of Azerbaijan (SOFAZ), Shahmar Movsumov, stated that in 2007the Fund plans to allocate $200 mln for the reconstruction of the Georgian section of the railway link Baku-Tbilisi-Kars.

"The construction work will begin this year and finances will be allocated according to the enquiry of the Transport Ministry of Georgia as required. At present financing is not available," he said.

The International Bank of Azerbaijan (IBA) has been selected as the Government's agent in which case the finances will be transferred via IBA's Georgian Office.

Preparations for the feasibility study of the project will be completed mid-May which will be prepared by Turkish Company Yuksel Domonik. Subsequently the tender will be announced and construction hopefully to commence in July.

According to the order of the President of Azerbaijan "On measures within realization of the project on the new railway link Baku-Tbilisi-Kars", a State Commission has been created headed by the Transport Minister of Azerbaijan, Ziya Mammadov. The Commission also includes the representatives of the Ministry of Finance, Foreign Ministry, Ministry of Economic Development, Heads of the SOFAZ, Azerbaijan State Railway Department and International Bank of Azerbaijan. The Co-ordinator of the project from the Government of Azerbaijan has been appointed the Transport Ministry.