Finance

Home page

Finance

World Bank: Middle Corridor could increase Azerbaijan’s GDP by $1.3 billion

28 September 2026 18:03 (UTC +04:00)

Realizing the full potential of the Trans-Caspian International Transport Route (TITR), or the Middle Corridor, could make an additional contribution to Azerbaijan’s economic growth, APA-Economics reports.

According to the World Bank’s report titled “Integrating the Middle Corridor: High-Quality Trade Logistics along the Trans-Caspian Transport Route,” fully utilizing the potential of the Middle Corridor could provide an additional 1.84% increase in Azerbaijan’s GDP.

This increase is estimated at approximately $1.3 billion at current prices.

The report notes that the development of the Middle Corridor could also lead to a 1.5% increase in total employment in Azerbaijan.

According to the World Bank’s assessment, the main contribution to economic growth in Azerbaijan will come from increased revenues from transit freight transportation, expanded activity in the port and railway sectors, as well as deeper trade ties with Central Asian and European countries.

The Bank’s analysts state that in order to achieve this potential, alongside the development of transport infrastructure in Azerbaijan, it is important to accelerate customs procedures, introduce digital solutions, and continue reforms in state-owned transport companies.

According to the report, in the long term, the development of the Middle Corridor could increase the combined GDP of the countries participating in the route by 3.3%, or approximately $58 billion at current prices. Total employment in these countries is projected to increase by 2.9%.

According to the World Bank’s calculations, under another scenario, additional economic growth for Azerbaijan is expected to amount to $326 million, or 0.43% of GDP. The report notes that, in relative terms, small landlocked economies, including Kyrgyzstan and Georgia, could obtain the greatest economic benefits.

The World Bank emphasizes that realizing the full potential of the Middle Corridor is not limited to infrastructure investments alone. It also requires the digitalization of logistics systems, improvement of border procedures, and implementation of institutional reforms.