The European Bank for Reconstruction and Development (EBRD) has announced that it will allocate 60 million US dollars to co-finance the construction of a highway tunnel in Georgia.
The construction of the nine kilometre-long tunnel is part of Georgia’s North-South Corridor, a large-scale infrastructure development project that will be implemented between Kvesheti and Kobi.
The project also includes four more tunnels, a 23 kilometres long bypass road, all-weather rural roads and six bridges.
The infrastructure project will be the first in a series of upgrades of the Caucasian Road Corridor, a vital transit route for Georgia, Armenia and regional trading partners, connecting Central Asia with Europe and East Asia.
The upgrade is aimed at increasing connectivity, access and safety along the transport corridor, as well as developing the economy.
The EBRD’s announcement comes after the Asian Development Bank also approved a 415 million US dollars funding package for the Kvesheti-Kobi road and tunnel.
The Georgian government will provide 83.6 million US dollars for the tunnel’s construction.