Kazakhstan attracts over 220 bn tenge EBRD loan for highway reconstruction

The agreement was signed in Brussels at an international business conference on the development of the Trans-Caspian International Transport Route (TITR) and paves the way for the reconstruction of the Aktobe-Karabutak-Ulgaisyn national highway.

The project covers 234 kilometers of the highway, including sections between km 763–791 and km 819–1025. Upon completion, the road will be upgraded to a four-lane Category I highway with asphalt concrete pavement and a maximum design speed of 120 km/h.

The highway section is considered strategically important as it forms part of the Western Europe–Western China international corridor, CAREC Corridor 1 and the European E38 route, linking Europe, Central Asia and China.

“The agreement with the EBRD marks an important step in the implementation of one of Kazakhstan’s largest infrastructure projects. This is not merely a road reconstruction project, but an investment in the country’s transit potential, road safety, the development of Aktobe region and Kazakhstan’s role as a key transport hub in Eurasia. Once completed, the upgraded four-lane highway will increase the capacity of the international corridor and create new opportunities for businesses, the logistics sector and local residents,” said Darhan Imanashev, Chairman of the Management Board of QazAvtoJol.

The project is valued at 523 billion tenge and is being financed with support from international financial institutions, including the EBRD and the Asian Infrastructure Investment Bank (AIIB).

QazAvtoJol said the project is expected to boost traffic capacity, improve road safety and reduce both travel times and transport costs. Travel time along the upgraded section is projected to decrease to 1.4 hours, while daily traffic volumes could reach 26,989 vehicles on the km 763–791 section and 11,492 vehicles on the km 819–1025 section by 2048.

The project will feature a range of intelligent transport solutions, including electronic toll collection, weigh-in-motion systems, weather and traffic monitoring technologies, and digital tools aimed at improving road management and safety.

The highway will be delivered under a Design-Build-Maintain (DBM) model, which combines design, construction and long-term maintenance responsibilities to ensure quality and efficient lifecycle management of the infrastructure.

The project is expected to create more than 3,000 jobs during construction and 124 permanent positions once completed, contributing an estimated 25.5 billion tenge in economic benefits.

The company also plans to expand roadside services along the corridor, including hotels, service stations, fuel stations, campgrounds and catering facilities.

The Aktobe-Karabutak-Ulgaisyn reconstruction is set to become one of Kazakhstan’s flagship infrastructure projects, supporting the modernization of the road network and the development of international transport corridors.

Earlier, Qazinform News Agency reported that Kazakhstan’s Transport Ministry had announced the launch of a digital system to exchange international road transport permits with Azerbaijan, Türkiye, and Kyrgyzstan.