Azerbaijan and the Asian Infrastructure Investment Bank (AIIB) have signed a loan agreement for the Baku Metro Expansion Project - Phase I, while Baku Metro CJSC and AIIB signed a project agreement for the same project.
EDnews reports, citing the Azerbaijani Finance Ministry, that the $180 million loan agreement was signed on behalf of the Azerbaijani government by Finance Minister Sahil Babayev, while the project agreement was signed by Vusal Aslanov, chairman of Baku Metro CJSC.
At the signing ceremony, the finance minister said extensive preparatory work had been carried out to attract the loan funds in line with the requirements of international financial institutions.
Babayev stressed that this is one of the most significant financial projects implemented in recent years to modernize the country"s transport infrastructure, as well as the largest international loan attracted to the public transport sector in Azerbaijan"s history.
Mohamed Sameh, AIIB"s principal transport investment specialist, said comprehensive environmental and social assessment work had been carried out, a feasibility study had been prepared, and the project had subsequently been approved by AIIB"s Board of Directors.
Sameh also stressed that the project fully complies with international standards and the principles of transparency and sustainability.
The agreements, signed for a total period of 20 years with a four-year grace period, will ensure the implementation of the first phase of the long-term program to modernize and expand the Baku Metro. The project includes the continuation of construction work at the Darnagul and Khojasan electric depots, as well as the reconstruction of 10 stations on the Green Line.
The project is aimed at providing Baku with safe, comfortable and accessible public transport. It will also encourage passengers to switch from private cars to the metro, helping reduce carbon emissions and making a significant contribution to Azerbaijan"s international commitments in the fight against climate change.
.jpg.jpeg)