ANKARA: Turkey & Azerbaijan to help Georgia finance railroad

zaman.com
Turkey Bails out Georgia for Kars-Tbilisi Railway
By Economy News Desk
Published: Monday, September 19, 2005

Turkey will solve the financial problem of the Kars-Tbilisi railway with
action Turkish Transportation Minister Binali Yildirim took for a project,
which has been waiting for the last 13 years to be accomplished and has
failed due to financial and political reasons.
On Monday, Georgia and Azerbaijan transportation ministers met in Istanbul
in line with the efforts.
Georgian financial problems that have caused interruptions to the $252.7
million project will be discussed during the meeting.
Georgia faces difficulties finding appropriate resources as its credibility
is low in the eyes of international finance foundations. For this reason,
Georgia will be offered the opportunity to take the credit for the project
via Turkey.
Turkey’s economic performance shown in recent years has increased its
credibility with international finance foundations.
Azerbaijan will also provide Georgia with financial support.
After the credit is received, a repayment plan protocol will be signed among
the countries.
The railway line will connect Asia and Europe, and will provide huge
advantages in the frame of cost of transportation. In this way, it will be
possible to reach the oil and natural gas reserves in the Caucasus region by
railroad through Turkey.
The Silk Way Project will be realized with railroads again. A train
departing from London will be able to travel to China non-stop. Turkey will
spend $200 million and Georgia will spend $52.7 million to realize the
project.