The Asian Development Bank (ADB) has approved a €236 million ($257 million equivalent) loan to support the construction of a road section in the Syunik region of Armenia that will help enhance regional connectivity, foster economic growth, and promote climate resilience.
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The Resilient and Inclusive Road Sector Improvement Project will construct a 27.1-kilometer road in the northern section of the Sisian-Kajaran road, 16 bridges, and three tunnels to improve safety and reduce travel time by up to 90 minutes over the entire Sisian-Kajaran Road. It will incorporate climate-resilient construction methods and provide inclusive amenities such as rest areas equipped with electric vehicle charging stations and facilities tailored for women, children, and elderly users.
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“In a landlocked country like Armenia, resilient road networks are of utmost importance to ensure the safe, continuous, and economic transport of people and goods,” said ADB Director General for Central and West Asia Yevgeniy Zhukov. “ADB has long provided comprehensive assistance to Armenia’s transport sector to improve connectivity and economic growth, and this latest project serves as a blueprint for building road networks that are also climate-proof and gender-responsive.”
The project aims to boost regional economic growth by improving mobility for over 140,000 residents in the Syunik region, accelerating its potential for trade, tourism, and private sector activities. It will also enhance the region’s resilience to climate impacts such as floods and landslides through innovative engineering solutions.
The project includes a $250,000 technical assistance grant that prioritizes gender and social inclusion by supporting women entrepreneurs through training programs designed for at least 250 women-owned startups and small businesses. A gender-responsive internship program will also be undertaken through this grant to promote female participation in infrastructure design and management.
“This project exemplifies ADB’s commitment to developing sustainable infrastructure that not only strengthens connectivity but also enhances community resilience and inclusivity,” said ADB Senior Transport Specialist Thomas Herz. “The northern section of Sisian–Kajaran will serve as a vital transport link, improving local livelihoods and economic opportunities, while addressing climate change and social challenges.”
The project will be implemented from 2025 to 2032 by the Road Department Fund with oversight from the Ministry of Territorial Administration and Infrastructure.
About ADB
The Asian Development Bank (ADB) is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. It assists its members and partners by providing loans, technical assistance, grants, and equity investments to promote social and economic development. Established in 1966, it is owned by 69 members—49 from the region.
