The World Bank has approved $650mn in financing for Kazakhstan’s Transport Resilience and Connectivity Enhancement Project (TRACE), marking its first collaboration with the Asian Infrastructure Investment Bank (AIIB) in the country. The TRACE project will enhance the Jezkazgan-Karagandy section of the Trans-Caspian International Transport Route, also known as the Middle Corridor, a key trade and transit route.
The TRACE project aims to deliver significant improvements in transport connectivity and trade efficiency along the Middle Corridor. By focusing on climate-resilient infrastructure, it will bolster local communities' access to essential services and employment opportunities, particularly in the Ulytau and Karagandy regions. This initiative is expected to support economic growth and foster stronger national integration.
“With this project, the World Bank reinforces its commitment to sustainable infrastructure development in Kazakhstan,” said Andrei Mikhnev, World Bank Country Manager for Kazakhstan. “The focus on climate resilience and innovative road construction solutions will ensure long-term benefits.”
The project emphasizes the development of a climate-resilient and safer transport network to address challenges from increasing motorization. Planned upgrades include improved road materials, flood prevention measures, and snow barriers. Modern road design standards will also prioritize resilience and safety, addressing emissions concerns.
TRACE incorporates measures to reduce gender disparities in the transport sector by creating job and internship opportunities for women. A grievance mechanism will address issues related to equal opportunities, abuse, and harassment. Additionally, governance reforms will strengthen the efficiency of contracting and maintenance, enabling greater private-sector involvement in Kazakhstan’s transport sector.
“The project will optimize governance mechanisms, introduce modern road standards, and address challenges posed by emissions and safety,” noted Nijat Valiyev, leader of the World Bank project preparation team.
The project will be implemented by KazAvtoZhol National Company JSC, with a sovereign guarantee from the Republic of Kazakhstan. The World Bank’s $650mn loan, co-financed by AIIB under a separate agreement, will enable Kazakhstan to enhance its strategic role as a transit hub. The project is expected to be completed by June 30, 2032.
Follow Daryo's official Instagram and Twitter pages to keep current on world news.
Comments (0)