Sunday, April 19, 2026

North-South corridor: Azerbaijan Railways launching large-scale modernization

North-South corridor: Azerbaijan Railways launching large-scale modernization

by WNAM:
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BAKU ( WNAM MONITORING): Design, construction, and installation work to modernize the electrification, signaling, and telecommunication systems on the Bilajari-Yalama railway line have begun in Azerbaijan, Report informs.

Azerbaijan Railways (ADY) has begun preparatory work for this project.

The Government of Azerbaijan has applied for financing from the Asian Development Bank (ADB) toward the cost of Azerbaijan Railways Electrification, Signaling and Telecommunication Project (Bilajari-Yalama). Part of this financing will be used for payments under the Contract. Bids will be accepted until May 29.

The Project forms part of a wider program to modernize 25 kV AC electrification and signaling and telecommunications systems along the railway sections Bilajari–Yalama and Baku–Boyuk Kasik, which are key elements of Azerbaijan’s north–south and east–west rail corridors serving ADY’s international freight operations.

This first project under the program covers the Bilajari–Yalama section, a key link within the International North South Transport Corridor (INSTC) supporting regional freight transit. The section comprises approximately 192 km of double track and 15 stations. The estimated period for the design and construction works is 42 months, inclusive of the design period.

The Bilajari (excluding Bilajari Station)–Yalama section is a double-track, 1,520 mm gauge conventional railway line carrying passenger and freight traffic. The track and associated civil works have recently been rehabilitated. The corridor is currently equipped with electrification, signaling, and telecommunications systems; however, these systems are obsolete and require replacement with modern systems meeting international standards. The project aims to enhance safety, increase operational speed and efficiency, and improve the reliability and availability of railway services along this route.

The Asian Development Bank (ADB) is considering allocating $325 million for the electrification, signaling, and telecommunications project for this line. Approval of the loan by the ADB Board of Directors is scheduled for June 17, 2027.

In addition to the ADB, the project will be co-financed by the Asian Infrastructure Investment Bank (AIIB) and the Government of Azerbaijan.

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