EBRD to provide EUR 236 mln loan to Armenia for construction of Sisian-Kajaran section of North-South highway

YEREVAN, May 8. /ARKA/. The Armenian government on Thursday approved the signing of a 236 million euro loan agreement with the European Bank for Reconstruction and Development (BRD) to finance the construction of the southern Sisian-Kajaran (Syunik) section of the North-South interstate transportation corridor. 

According to Armenian Minister of Territorial Administration and Infrastructure Gnel Sanosyan, the Sisian-Kajaran section of the highway with a length of about 60 km is divided into three sections – northern, Bargushat tunnel and southern (27.12 km, 8.65 km and 24.25 km respectively. The cost of all three projects is estimated at 708 million euros.  

The project approved today concerns the 24.2 km southern section. Upon its completion, the length of the road will be almost halved from the current 118 km.

“A highway with asphalt concrete surface will be built, the speed regime will increase from 50 km/h to 100 km/h, the quality of the highway, the level of safety and comfort for drivers will improve dramatically,” Sanosyan said.  

He pointed out that the total credit funds for financing the project will amount to about 373 million euros, of which the EBRD will provide 236 million euros, the remaining 137 million euros will come from the European Investment Bank. 

The highway section will pass near Lernadzor and Nor Astkhaberd villages in Kajaran municipality, approaching the under-construction part of the Bargushat Tunnel exit.

“Five more small tunnels and 11 bridges are to be built in this section. In general, the construction of the Sisian-Kajarian section is to be completed by 2030-0-

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