Wednesday, October 26 2016 15:20
Naira Badalian

Deputy Minister of Transport excludes possibility of suspending North-South highway project

Deputy Minister of Transport excludes possibility of suspending  North-South highway project

ArmInfo. Deputy Minister of  Transport, Communications and IT of Armenia Artur Arakelyan excludes  the possibility of suspending North-South transport corridor  construction project, he stated answering to ArmInfo's  correspondent's question on October 26 on the sidelines of the  two-day discussions within UN "Euro-Asian Transport Links" program.

According to the Deputy Minister, the Minister of Transport,  Communications and Information Technologies needs to get familiar  with the process of implementation of the project, and very soon he  will present his assessment of it. The North-South project is very  significant for Armenia and Arakalelyan noted that there are no  problems related to the project and the process of its  implementation. The problems voiced by mass media are common practice  in any construction process, the Deputy Minister noted. "Tranche 1-  section from Artashat to Ashtarak has been finished in time, the  remaining construction is being held according to the schedule",  Arakelyan noted. The Deputy Minister ensured that there are no  problems with financing of the program. However, for its more  efficient implementation on the current stage discussions are being  held to deepen state-private sector cooperation in order to attract  private funds into construction works on the Southern part of the  project. "The matter concerns Kajaran-Sisian 60km section, where  there is an alternative road and we are actively searching for  investors who will assist to its implementation", Arakelyan stated  recalling that according to the plan two tunnels will be built on the  section, due to which the travel time will be cut by 2.5-3hours with  100km/h permissible speed. 

On October 20 the Minister of Transport, Communication and  Information Technologies Vahan Martirosyan told journalists that the  ministry is assessing the efficiency of construction of the  North-South highway in the territory of Armenia. The Minister noted  that at the current stage the efficiency of both the highway  construction and the North- South project in general is being  assessed. He did not rule out possible replacement of the developer  company and revision of the construction period. "There will be no  abuse during my term in the minister's office, believe me," he said.  Martirosyan pointed out that there is no final conclusion about the  future of the project yet. "I think it is unreasonable to change  anything without conducting the relevant surveys. We are assessing  the efficiency of the project to understand how to continue the  implementation of the project or whether to continue it at all," he  said. 

To recall, in July 2016, when commenting on the "delay of  construction of the Ashtarak-Talin section of the North- South  project," the then Prime Minister of Armenia Hovik Abrahamyan said  that the Spanish construction company had become a real evil for the  North-South road corridor. He also stressed that there were problems  also with the Ararat section of the road, whose quality did not meet  the standards. "There are certain problems with this company,  according to the rumors, the funds were misappropriated, please check  into the matter", Abrahamyan instructed.  After the session of the  Government, Deputy Minister of Transport and Communications Artur  Arakelyan told journalists that Spanish company Corsan Corviam had  already been fined for the improper quality of the construction work.   Based on the results of the inspection, certain divergences were  registered, which were envisaged by the agreement. As a result, the  company was fined at 6 mln USD from the total 70 mln USD to be paid  for the claims related to the quality of the conducted work within  Tranche 1 from Yerevan to Artashat and Ashtarak. "However, there are  no reasons to dissolve the agreement with the company", the deputy  minister stated. 

To note, the North-South 556km highway will be laid via the Armenian  towns of Meghri-Kapan-Goris-Yerevan- Ashtarak- Gyumri-Bavra and enter  the territory of Georgia on Akhaltsikhe-Batumi section, which will  settle some transport problems of Armenia.  This will be a four-lane  motorway of reinforced concrete extending from the Armenian border  and Iran to the Georgian port Batumi. The road corridor will  facilitate improving the road connection with the two neighbors of  Armenia: Iran and Georgia, providing access to international trade  routes and markets.  Armenia raised $500mln loan from the Asian  Development Bank for the project that is estimated at $1 billion.   Eurasian Development Bank is ready to provide $150 million. Armenia  raised $60 million from the European investment Bank.  Due to the  project, the overland communication Europe-Caucasus-Asia will be  improved. The project will be completed by 2019. It will allow  Armenia to soften the consequences of the blockade by Azerbaijan and  Turkey and to join the Black Sea ring highway. Corsan Corvian Spanish  company has won the tenders for construction of the first sections of  the road, Chinese Sinohydro Corporation has won the tender for  construction of the Lanjik-Gyumri section in north of Armenia.


News
Proceeds of Armenia`s trade sector $5.2bln in Jan-Oct 2021Proceeds of Armenia`s trade sector $5.2bln in Jan-Oct 2021
4.1% increase in proceeds of Armenia`s communication sector in  Jan-Oct 2021 4.1% increase in proceeds of Armenia`s communication sector in  Jan-Oct 2021 
Double-digit growth in alcoholic beverages output in ArmeniaDouble-digit growth in alcoholic beverages output in Armenia
Revenues of Armenia`s textile industry more than doubled in 10 monthsRevenues of Armenia`s textile industry more than doubled in 10 months
Electricity generation in Armenia decreased by 3.1% in 10 monthsElectricity generation in Armenia decreased by 3.1% in 10 months
Armenia`s metallurgy industry accelerates growthArmenia`s metallurgy industry accelerates growth
HSBC Armenia Named Best Cash Management Bank by 2021 Euromoney Cash Management SurveyHSBC Armenia Named Best Cash Management Bank by 2021 Euromoney Cash Management Survey
Production volumes of aluminum foil in Armenia decreased by 5% per  annum in 10 monthsProduction volumes of aluminum foil in Armenia decreased by 5% per  annum in 10 months
Informed means protected: IDBankInformed means protected: IDBank
Industrial production growth accelerated due to revitalization of  manufacturing industryIndustrial production growth accelerated due to revitalization of  manufacturing industry
Armenia is negotiating for export of Armenia is negotiating for export of "Sputnik Light" vaccine to  countries of Middle East and Africa
Russia and China are Armenia`s leading trade partners in both export  and importRussia and China are Armenia`s leading trade partners in both export  and import
Growth of Armenia`s foreign trade turnover significantly exceeds  pre-COVID ratesGrowth of Armenia`s foreign trade turnover significantly exceeds  pre-COVID rates
Regular container trains start to run from China to GeorgiaRegular container trains start to run from China to Georgia
MP: Armenian authorities directed expensive borrowed funds to curb  devaluation of dram MP: Armenian authorities directed expensive borrowed funds to curb  devaluation of dram 
Opposition MP: The optimism underlying the draft state budget of  Armenia for 2022 is a purely political trickOpposition MP: The optimism underlying the draft state budget of  Armenia for 2022 is a purely political trick
Armenia`s economic activity recovers very slowlyArmenia`s economic activity recovers very slowly
Artur Khachatryan: Armenia faces an infrastructure trapArtur Khachatryan: Armenia faces an infrastructure trap
9.6% annual inflation in Armenia in Nov. 20219.6% annual inflation in Armenia in Nov. 2021
Belarus is interested in strengthening cooperation with Armenia in  field of high technologiesBelarus is interested in strengthening cooperation with Armenia in  field of high technologies
GITC, IBM to implement artificial intelligence education programme GITC, IBM to implement artificial intelligence education programme 
Japanese government to provide grants for implementation of 2  programs in Armavir and Lori regions  Japanese government to provide grants for implementation of 2  programs in Armavir and Lori regions  
Armenia`s developers to submit documents online soonArmenia`s developers to submit documents online soon
Armenia`s vice-premier calls for larger share of national currencies  in EAEU tradeArmenia`s vice-premier calls for larger share of national currencies  in EAEU trade
EDB to intensify work in ArmeniaEDB to intensify work in Armenia
Ardshinbank named the Best Bank of the Year by The Banker international magazineArdshinbank named the Best Bank of the Year by The Banker international magazine
EDB analysts have no assessment of economic benefits that Armenia  will receive from unblocking of regional transport corridorsEDB analysts have no assessment of economic benefits that Armenia  will receive from unblocking of regional transport corridors
Greenhouse for growing roses to be built in Aragatsotn region of  ArmeniaGreenhouse for growing roses to be built in Aragatsotn region of  Armenia
Gnel Sanosyan: Unfortunately, there have been cases of revealing  design and construction flaws during implementation of subvention  programsGnel Sanosyan: Unfortunately, there have been cases of revealing  design and construction flaws during implementation of subvention  programs
Armenian entrepreneurs appealed to PM to extend embargo on import of  Turkish goods Armenian entrepreneurs appealed to PM to extend embargo on import of  Turkish goods 
EDB Analyst: Armenia`s public debt level will remain above  pre-pandemic level until 2026EDB Analyst: Armenia`s public debt level will remain above  pre-pandemic level until 2026
EDB ready to provide loan for construction of Meridian highway of  Europe-Western China transport corridorEDB ready to provide loan for construction of Meridian highway of  Europe-Western China transport corridor
IFC ready to participate in reforms in Armenia IFC ready to participate in reforms in Armenia 
42% year-on-year growth in net private money transfers to Armenia in  Jan-Oct 202142% year-on-year growth in net private money transfers to Armenia in  Jan-Oct 2021
Armenia Securities Exchange  introduced corporate bond exchange  indices for the first time in regionArmenia Securities Exchange  introduced corporate bond exchange  indices for the first time in region
6.3% rise in real estate prices in Armenia`s capital this Oct6.3% rise in real estate prices in Armenia`s capital this Oct
Central Bank of Armenia joins Sustainable Banking and Financial  NetworkCentral Bank of Armenia joins Sustainable Banking and Financial  Network
EDB formulates idea of  Eurasian transport frameworkEDB formulates idea of  Eurasian transport framework
Tigran Balayan presented Armenia`s investment opportunities to  representatives of Dutch business sectorTigran Balayan presented Armenia`s investment opportunities to  representatives of Dutch business sector
Global businesses set to battle for talent as hiring plans fuel growth ambitionsGlobal businesses set to battle for talent as hiring plans fuel growth ambitions
Armenia`s gross international reserves increased by 38.2% per annum  by November 2021Armenia`s gross international reserves increased by 38.2% per annum  by November 2021
Vahan Kerobyan will take part in Second Eurasian Congress in MoscowVahan Kerobyan will take part in Second Eurasian Congress in Moscow
Statistics: Armenia`s GDP increased by 11.1% per annum in 9 months of  2021Statistics: Armenia`s GDP increased by 11.1% per annum in 9 months of  2021
New power plant of 254 MWe launched in YerevanNew power plant of 254 MWe launched in Yerevan
As of November 20, 2021, tax collection in Armenia exceeded  pre-crisis index of 2019 by 4.5%As of November 20, 2021, tax collection in Armenia exceeded  pre-crisis index of 2019 by 4.5%
Association of Restaurateurs reacted negatively to new decision of RA  Health Ministry Association of Restaurateurs reacted negatively to new decision of RA  Health Ministry 
ANIF, Masdar company discuss Ayg-1 project ANIF, Masdar company discuss Ayg-1 project 
Unpredictable pandemic situation, steadily high inflation remain major risks to scenario of Armenia`s  economic development - EDBUnpredictable pandemic situation, steadily high inflation remain major risks to scenario of Armenia`s  economic development - EDB
US$30m OPEC Fund loan to Ameriabank to promote sustainable energy and support small businesses in ArmeniaUS$30m OPEC Fund loan to Ameriabank to promote sustainable energy and support small businesses in Armenia
One Success Story: Trimming the SpiritsOne Success Story: Trimming the Spirits
EDB projects 2.9% growth in aggregate GDP of Bank`s member states in  2022EDB projects 2.9% growth in aggregate GDP of Bank`s member states in  2022
Representatives of Trade Mission of RF and EFSD discuss financing of  investment projects in Armenia and support for Russian exportersRepresentatives of Trade Mission of RF and EFSD discuss financing of  investment projects in Armenia and support for Russian exporters
4.3% year-on-year increase in economic activity in Armenia in  Jan-Oct, 20214.3% year-on-year increase in economic activity in Armenia in  Jan-Oct, 2021
New operator of Meghri FEZ plans to build a food packaging plantNew operator of Meghri FEZ plans to build a food packaging plant
Government subsidies to Syunik region reached 1.1 billion drams Government subsidies to Syunik region reached 1.1 billion drams 
Armenian authorities consider building three more bypass roads in  Syunik regionArmenian authorities consider building three more bypass roads in  Syunik region
Armenian government approves signing of Agreement on navigation seals  in EAEUArmenian government approves signing of Agreement on navigation seals  in EAEU
Contract for Kaps reservoir construction put out to tenderContract for Kaps reservoir construction put out to tender
VPOS number steadily increasing in Armenia  VPOS number steadily increasing in Armenia  
Non-cash plastic transactions continue to gain momentum; 30%  threshold in total volume has already been passedNon-cash plastic transactions continue to gain momentum; 30%  threshold in total volume has already been passed
Read more


Exchange rates
07.12.2021
RUB6.62-0.04
USD492.411.38
EUR555.140.37
GBP652.791.73
CAD387.574.04
JPY43.32-0.05
CNY77.260.18
CHF533.200.80