European Bank for Reconstruction and Development (EBRD) approved USD 60 MIO  loan to  co-finance construction of 9 km long Kvesheti-Kobi tunnel, which forms part of the North-South Corridor 

We would like to remind that Asian Development Bank (ADB) has already allocated USD 415 million for construction of Kvesheti-Kobi road and tunnel.  Co-financing of Georgian Government is USD 83.6 million.

Kvesheti-Kobi road project is divided in two sections. Contracts for both sections have been awarded. Overall, the project envisages construction of 22.7 km and 2-lane asphalt concrete road, 6 bridges and 5 tunnels, including construction of one 9 km tunnel. The width of 9km tunnel will be 15 meters, which is quite rare not only in Transcaucasia, but also worldwide. In this regard, Kvesheti-Kobi tunnel will enter the list of tunnels with largest diameters. Construction of Kvesheti-Kobi road and tunnel totals to GEL 1.2 billion.

Kvesheti-Kobi section is a part of North-South corridor. The road passes through the difficult terrain and is characterized with heavy snowfalls in the winter period. New road and 9 km tunnel will solve existing problems. Uninterrupted transit traffic will be possible at any time of year. The tunnel will provide safer and more reliable conditions for users during the winter, while the new road will enable to avoid traffic flows in Kazbegi National Park and Gudauri winter resort.

The road will also improve living conditions of population remained in the gorge, who are isolated from the outside world in winter period. The road and other infrastructure projects implemented or planned in Kazbegi Municipality will assist to migration return to the gorge, create new tourist trails and revive economic activities. Nine villages are affected by the project.