Yerevan/Mediamax/. First stage of implementing the investment program on constructing North-South road corridor has been launched in Armenia.

As the First Deputy Minister of Transport and Communication of Armenia Hrant Beglaryan stated in an interview to Mediamax, the schedule for implementing the program has already been composed, including the preparatory stage, assessment of ecologic impact, projecting.

Felix Pirumyan is chosen Director of the Program Implementation Organization (PIO) on competition basis. He had been occupying the position of Advisor to the Armenian President until recently. By mid June, PIO staff will be fully formed.

The total cost of the program makes $1bln 453mln, $500mln of which will be provided by the Asian Development Bank (ADB) by separate tranches basing on the order of multifunctional financing. The first tranche will make $60mln.

Project works are carried out by “Armroadproject” Institution. After their completion, a tender will be announced in the second half of 2010 for reconstructing Yerevan-Ashtarak and Ararat-Yerevan highways. Probably, by the end of the year agreements will be concluded and construction works will be launched, Hrant Beglaryan stated.

Simultaneously, preparatory works on implementing the next tranches will be initiated. The total sum of the tranches, basing on preliminary assessment, will make $440mln. Here the works will be carried out on Ashtarak-Gyumri highway and the southern section of the road corridor.

In general, the program implementation is planned to be completed by the end of 2017. 4-line traffic, meeting modern international standards, is expected to function along the entire length of Yerevan-Gyumri highway.

In Ashtarak-Gyumri section, the current roadway will be widened twofold. 

Hrant Beglaryan stated that implementation of the program will allow developing the road network, increasing security and improving infrastructure and potential of road management in accordance with leading international standards. As a result, they expect increase in trade turnover and the volumes of transit communication between Europe and Asia, decrease of expenses for cargo transportation.

The First Deputy Minister of Transport and Communication of Armenia informed that at present there are negotiations held with the World Bank and the Japanese Agency for International Cooperation on attracting additional investments. At that, he did not rule out the possibility of attracting other donors as well in the process of program implementation.