Azerbaijan, Baku / Trend corr I. Khalilova / The negotiations between Azerbaijani Government and Asian Development Bank (ADB) regarding project of multitranche package on road projects and a credit agreement on the project of reconstruction of a sections of the Massali-Astara highway will be prolonged for another week, according to the Baku office of the ADB. The talks began in Baku on 7 August, on 9 August the experts left the country. They will be continued via correspondence and a protocol will be signed in result.
Azerbaijani Finance Ministry's refusal to sign a final protocol caused prolongation of the negotiation process, according to the Government. The refusal is explained by the fact that Azerbaijan has no project financing practice within the framework of Multitranche Financing Facility (MFF) mechanism, therefore the Ministry has intentions to get the approval of eh Cabinet of Ministers. Within the framework of MFF the ADB will allocate $500mln to Azerbaijan. The funds are intended for financing of three road projects (including Masally-Astara).
One project has been agreed upon so far. The ADB will allot $200mln for its implementation. The negotiations on the credit agreement regarding reconstruction of a section of Massaly-Astara highway were held on 8 August. The remaining agreements will be coordinated at the next stage..
Prolongation of the talks also affected the time of approval of MFF and the project on reconstruction of Masally-Astara by the Board of Directors of the ADB, what was previously scheduled to 28 August but has been postponed to September.