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Azerbaijani Vice-Premier: Baku-Tbilisi-Kars project progress not affected by global financial crisis

11 November 2009 15:40 (UTC +04:00)

Baku. Rashad Suleymanov - APA-ECONOMICS. The progress of the Baku-Tbilisi-Kars Railway Project was not affected by the global financial crisis, said Abid Sharifov, Deputy Prime Minister of Azerbaijan.

"The project is funded by the State Oil Fund of Azerbaijan and the funds were allocated in advance. However, there are problems in any large-scale construction projects. There are some delays, but it will be solved,.

According to him, the BTK project is planned to be commissioned on schedule, in 2012.

The three countries agreed in February 2007 to build a rail line linking the Azerbaijani capital Baku, the Georgian capital Tbilisi and the Turkish city of Kars. Construction work commenced on November 21, 2007.

As per the agreement, Azerbaijan undertook to extend a $200mln loan to Georgiaâ€™s Marabda-Kartsakhi Railroad LLC for 25 years at 1% interest rate annually. The loan will be spent on construction of a 29km long railroad in Georgia, a ST-2 wheel base in Turkish-Georgian border and rehabilitation of old railway.