Kazakhstan and World Bank sign loan agreement

The new 305 kilometers road from Almaty to Khorgos to be opened in 2015, being a transit link between China and Kazakhstan and other Central Asian countries, has a great potential to accelerate trade flows and economic prospects to boost the regional economy.

"The East-West Roads Project signed today will complete the upgrade of the Western Europe-Western China Road Corridor," says Bolat Zhamishev, Minister of Finance of the Republic of Kazakhstan. "Aimed at improving the efficiency of the transport link from Almaty - one of the main economic centers of Central Asia - to Khorgos, the main road border crossing between Kazakhstan and China, the Project will help improve access to markets, enhance business opportunities, and create more jobs".

The new Project will lead to more efficient transport, lower road-user costs and improved level of services along sections of the WE-WC Road Corridor. In order to fully achieve the objectives, the Project will also assist in implementing an improved highway operations and maintenance based on the agreed levels of service. This will lead to a lower social cost, stemming from the reduced road traffic injuries, and an increased travel speed and riding comfort.

"Managing roads, an important public asset, in an efficient and effective manner requires adequate institutional capacity as it is very expensive to build and maintain roads," said Sebnem Akkaya, World Bank Country Manager for Kazakhstan. "Therefore, in addition to physical investments to improve the quality of the roads, the Project will increase efficiency and effectiveness of the modern highway operation and maintenance by scaling-up the road transport sector reform efforts initiated under the on-going South West Roads project, financed by the World Bank."

In the course of implementation of the WE-WC Road Corridor development program, the Government is taking steps towards reforming the Ministry of Transport and Communications to improve the road asset management system, road safety and road services.

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