ADB Approves $415 Million Loan to Improve Georgia's North–South Road Corridor

ADB Approves $415 Million Loan to Improve Georgia's North–South Road Corridor

The Asian Development Bank (ADB) has approved a $415 million loan to Georgia to build a new highway as part of a wider government program to improve the country’s transport network and enhance Georgia as a regional trade and tourism hub.

The Kvesheti–Kobi Road Project is the first in a series of upgrades planned for the North–South Corridor, which is a vital transit route for Georgia, Armenia, and regional trading partners. The corridor also intersects with the East–West Highway to the north of Tbilisi, the capital, providing access to the shortest link connecting Central Asia with Europe and East Asia.

The 23-kilometer (km) bypass will be built between the towns of Kvesheti and Kobi and pass through the spectacular Caucasus Mountains in the country’s northeast. It will provide a safer and faster travel alternative for residents, tourists, and freights trucks who face worsening delays on the current road, especially on the Jvari Pass section, which is highly exposed to avalanches in winter.

The bypass will follow a new alignment through the Khada Valley and include engineering features such as Georgia’s longest tunnel (9 km) and its most advanced arch bridge spanning the Khadistskali River. The road will also provide a much-needed link to services and job opportunities for the valley’s remote communities.

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