The Asian Development Bank (ADB) has approved a $50m loan towards improvement of the transport efficiency and safety of the M6 Highway from Vanadzor in Armenia to the border with Georgia at Bagratashen.
The M6 highway is considered as one of the most strategic roads for internal and external trade between Armenia and Georgia.
ADB Central West Asia Regional Department principal transport specialist JiangboNing said:“Road transport plays an important role in the national economy of Armenia, which relies heavily on trade with neighbouring countries like Georgia.
“ADB supports the government’s priority to develop and increase the efficiency of the transport system as a prerequisite for economic growth, and for increased access to social and economic services.”
The funds approved by the ADB will be used for rehabilitating and upgrading 51.5km of the total 90km of the two-lane M6 highway.
The European Investment Bank (EIB) will be financing the rehabilitating works on the remaining 38.5km.
With this investment, facilities and safety along and in the vicinity of this road section in northern Armenia will be improved, and strengthen the institutional capacity of the Ministry of Transport.
Upon completion, the project will help improve access to social services, agriculture, tourism, and jobs, with the aim of reducing regional economic and social disparities.
ADB is also providing additional support to help the government take proactive steps to increase the budget allocation for road maintenance and enhance its effectiveness through policy dialogues.
Image: The M6 highway improvement on Armenia-Georgia Border. Photo: courtesy of adb.org.