AIIB approves €300m loans for Turkish rail line

The Asian Infrastructure Investment Bank (AIIB) has authorized a €300 million loan for a rail link between Istanbul and Cerkezkoy, a European Turkey industrial center.

The European Bank for Reconstruction and Development is lending €150 million to the project.

The electrified high-speed railway will be part of the Europe-Caucasus-Asia transport corridor, which intends to boost trade and transportation in the Black Sea basin, the southern Caucasus, and Central Asia.

Supee Teravaninthorn, AIIB’s infrastructure director-general, said: “AIIB’s investment in the project is considered 100% climate mitigation financing and falls under the bank’s transport sector strategy. It is also aligned with AIIB’s thematic priorities of connectivity, regional cooperation, and green infrastructure.”

Serhat Köksal, Turkey’s acting director-general of economic relations, said: “When the project is completed, it will be a major step that strengthens our country’s position as a bridge between East and West.”