More than 25 billion US dollars in investment is needed for the physical infrastructure of the Trans-Caspian International Transport Route (TITR, Middle Corridor) by 2040, while the priority areas for investment are railway networks, seaports, and access roads.
“Elchi” reports, citing Report, that this was stated in the World Bank’s report titled “Integration: High-Level Trade Logistics along the Trans-Caspian Transport Route.”
“A large portion of the most significant investment projects are currently in the implementation phase or in advanced stages of preparation in the states located along the corridor. At the same time, the continuous improvement of competitiveness, increasing cargo volume, and strengthening economic impact will require increasing the efficiency of the corridor, improving the quality of services provided, and carrying out institutional reforms in all participating countries. Furthermore, approximately 30 billion US dollars should be spent on “enabling” investments, including connecting roads and railways that link the corridor to national economies, logistics hubs and inland terminals to accelerate cargo movement, as well as logistics equipment that ensures the uninterrupted operation of the entire transport network – including rolling stock (locomotives and wagons), loading-unloading equipment, and digital platforms,” the report emphasized.
According to the bank’s data, the ultimate success of the corridor will depend on how effectively countries and operators organize joint cooperation to minimize delays at border crossings, simplify document circulation, coordinate the operation of transport hubs, and provide stable service.
“Strengthening partnership relations between governments, transport operators, and the private sector will create a foundation for increasing the reliability of the route, attracting capital investments, and transforming the corridor into a platform for large-scale economic growth,” the bank’s experts believe.
In the report, four main directions have been identified for improving the management and operation of the corridor: the creation of a unified digital platform for the corridor intended to replace retail paper document circulation with a “single window” for transport, transit, and trade data; the formation or authorization of an integrated, market-oriented joint venture – a container railway and Caspian Sea shipping operator – to organize direct coordination of container and maritime services; strengthening coordination at the entire route level for monitoring efficiency indicators, eliminating bottlenecks, and developing joint solutions; and modernizing corridor operators through the improvement of corporate governance that allows state railway, port, and shipping companies to operate more on commercial principles, ensuring financial sustainability and regulatory changes.
“Unlocking the full potential of the corridor depends on practical steps that will ensure faster, more predictable, and convenient movement of cargo across state borders. Better integrated railways, ports, logistics centers, and digital systems, combined with deepened coordination between countries and operators, are capable of turning the TITR into a competitive route for business and a sustainable platform for regional development,” said Charles Cormier, World Bank Regional Director for Infrastructure in Europe and Central Asia.