BAKU, Azerbaijan, July 29. Kazakhstan is the second-largest investor in the development of transport infrastructure in the Eurasian region, according to the Eurasian Development Bank (EDB).
"The largest investments in the development of the Eurasian transport framework are associated with projects being implemented in Russia. Its share accounts for 65.3% of total investments, or $225.2 billion. The second largest investor in the development of transport infrastructure in the Eurasian region is Kazakhstan, which is implementing or planning to implement projects worth more than $32.5 billion, accounting for 9.4% of the total volume," the bank said in its publication.
The EDB noted that the list of countries implementing or planning projects with a total value of more than $10 billion by 2035 includes Afghanistan, Iran, Kyrgyzstan and Uzbekistan.
"Notably, China is also investing in transport corridor development projects in the Eurasian region. This financing is provided both through the participation of Chinese investors in cross-border public-private partnerships, in particular, for the creation of the China-Kyrgyzstan-Uzbekistan (CKU) railway corridor, and through direct investments, for example, in the construction of the Bedel international road checkpoint, the Manas trade and logistics city, and a coal logistics centre near the Irkeshtam international road checkpoint in Kyrgyzstan," the EDB said.
The bank noted that the costs of developing transport corridor infrastructure depend on the size of each country and the scale of its economy. Most countries in the Eurasian region are developing and landlocked states. Some of them have mountainous terrain, which significantly increases the cost of transport construction.
"Taking these factors into account, the scale of investments required for the construction of transport infrastructure facilities or modernization of existing sections of transport corridors can be significant for such countries not only in nominal terms but also relative to the size of their GDP", the EDB said.
Meanwhile, Head of the IRU Permanent Representation in Eurasia Vadim Zakharenko told Trend that Kazakhstan needs to develop its transport infrastructure and digitalize transit processes to strengthen its transit potential.
"Kazakhstan’s transportation policy is, first and foremost, of course, focused on developing the country’s transit potential. In this regard, Kazakhstan’s geographical location is particularly important, as approximately 80% of all land freight shipments from China pass through Kazakhstan.
Therefore, it is crucial to develop physical infrastructure while simultaneously implementing advanced rules, procedures, and all aspects of so-called ‘soft measures’ that help accelerate the flow of goods while ensuring an appropriate level of control and transparency in the operations carried out," he said.
