Realizing the full potential of the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor, could provide an additional GDP growth of 1.84 percent for Azerbaijan. In current prices, this equals approximately 1.3 billion US dollars.
Sea-news.az reports citing Report, that this is stated in the World Bank report titled “Integration: High-Level Trade Logistics along the Trans-Caspian Transport Route.”
According to the report, expanding the corridor’s operations could boost overall employment in Azerbaijan by 1.5 percent.
The primary sources of economic growth for Azerbaijan will be increased revenue from transit freight transportation, heightened business activity in the port and railway sectors, and the expansion of trade relations with Central Asian and European nations.
World Bank analysts noted that realizing this potential requires continuing the modernization of port and railway infrastructure in Azerbaijan, as well as adopting digital solutions to accelerate customs procedures.
According to the report, the long-term development of the TITR could increase the combined GDP of participating countries by 3.3 percent, which equals 58 billion US dollars in current prices. Overall employment across corridor countries is projected to rise by 2.9 percent.
The largest GDP growth in absolute terms is expected in the region’s major economies—Türkiye and Kazakhstan. Growth is projected at 47.1 billion dollars (4.11 percent) for Türkiye and 6.14 billion dollars (2.22 percent) for Kazakhstan.
For Azerbaijan, the report also notes an absolute GDP increase of 326 million dollars, or 0.43 percent. In relative terms, the greatest gains are expected for small, landlocked economies, primarily Kyrgyzstan (4.83 percent) and Georgia (3.61 percent).
The World Bank emphasized that fully unlocking the corridor’s potential requires not only stepping up investments in infrastructure projects but also implementing comprehensive institutional reforms, including digitalization and restructuring within state-owned transport companies.
According to the Bank, although Armenia is currently not among the recipient countries of the TITR, direct physical connections with the route are expected to be established in the 2030s. Given the report’s analytical timeframe spanning 2023–2040, Armenia was also incorporated into the calculations.
