Azerbaijan and Türkiye receive major funding for rail infrastructure

Azerbaijan has secured $652.38 million in loans from the Asian Development Bank (ADB) to modernize its rail and metro systems. The funding will support two primary projects: a $350 million upgrade to the 192 km Bilajari–Yalama railway line and a $302.38 million modernization of the Baku Metro. The railway upgrades will implement modern electrification and signaling to transition the line from direct current to alternating current, enhancing its role in the North–South and North–West international transport corridors. The Baku Metro project focuses on digitalizing operations and replacing existing signaling with communications-based train control technology to improve frequency and passenger safety.

In Türkiye, the OPEC Fund has allocated $250 million to construct a new 127-kilometer railway line designed to bypass the Istanbul metropolitan area and provide high-capacity links across the Bosphorus. This project aims to close a critical gap in the Middle Corridor, which connects China and Central Asia to Europe. The initiative is part of a larger $8.3 billion investment package led by the World Bank and includes contributions from the ADB, the Asian Infrastructure Investment Bank, the Islamic Development Bank, the European Bank for Reconstruction and Development, and the European Investment Bank.