ArmenPress
Dec 3 2004

IRAN AND ARMENIA STOP TALKS OVER KAJARAN TUNNEL

YEREVAN, DECEMBER 3, ARMENPRESS: A senior official of Armenian
transport and communication ministry told Armenpress that Armenia and
Iran cancelled talks on construction of a tunnel in southern Armenian
Kajaran that was supposed to provide a short and safe overland road.
The official, Eduard Karapetian, who is head of a ministry’s
department supervising investment projects, said the construction was
estimated to cost between $50-$60 million. He said Armenian turned
down terms of a loan that was promised by Iran, as they were
“business loans.”
He said Armenia does not have enough money to finance the
construction all alone. The official said instead a new road may be
constructed. He said some 40 million drams earmarked by 2005 draft
budget for preparing a feasibility plan for Kajaran tunnel will be
directed for construction of an alternative road.