Minister: Armenia planning to spend $120 million in 2010 for constructing North-South highway

YEREVAN, January 14. /ARKA/. Armenia is planning to spend $120 million in 2010 for construction of North-South highway, Armenian Economy Minister Nerses Yeritsyan said on Thursday.

At its routine Thursday meeting, the cabinet ministers approved the investment program of North-South highway construction and the preliminary agreement between Armenia and Asian Development Bank on a $500-million loan.

The mentioned $120 million includes the first, 60-million tranche and a part of the second tranche of this loan that will be transferred in 2010.

Yeritsyan said that the investment program will be implemented over the period between 2010 and 2017.

On August 6, 2009, Armenian government approved the decision to construct North-South highway.

The highway will give Armenia a chance to mitigate consequences of the long-years blockade by Azerbaijan and Turkey in the future.

Thanks to that, Armenia could become a transit country and join Black-Sea ring highway.

Yeritsyan also said that this up-to-international-standards transport corridor will simplify external and internal cargo shipment and spur trade.

The first stage will be focused on recovery of Yerevan-Ashtarak and Yerevan-Ararat roads, and the second stage on repair of Sisian-Kapan section.

The minister also said that environmental and economic analysis has already been made and possible risks have been estimated as part of the program.

Asian Development Bank says that the project is estimated to cost $1.5 billion. -0--