The construction of this highly important strategic road will ensure easier traffic from the Southern border of Armenia to the Georgian border and up to Black Sea ports and will allow passenger and cargo transportation in accordance with European standards. The highway will also provide serious development opportunities for all communities from the North to the South of Armenia.

Contracts have been signed with the Asian Development Bank (ADB), European Investment Bank (EIB), European Bank for Reconstruction and Development (EBRD) and Eurasian Development Bank (EDB) for the implementation of the Project. The Project is divided into 5 Tranches. Negotiations are conducted for involvement of other donors for the construction of northern and southern parts of the corridor.

Project implementation will result in the following outcomes:

• Improved road corridor in compliance with international standards;
• Four-lane Category 1 road on Yerevan-Gyumri and Yerevan-Ararat sections;
• Other road sections meeting international standards with the possibility to be widened up to four-lane road in the future;
• Efficient and safe road corridor traffic management.

North-South Road Corridor:

 - Provides access to the Black Sea through the territory of Armenia and Georgia and then to European countries;

- Crossing the territory of Armenia from the South to the North (Meghri – Yerevan – Ashtarak – Gyumri - Bavra) the corridor connects to the Georgian road leading to Poti and Batumi ports;

- The implementation of the Project results in improving Europe - Caucasus – Asia road communication at the intersection of West Asia and East Europe.

Project objectives: facilitating communication with neighboring countries; expanding and facilitating access to foreign market towards Central Asia and Europe; developing major economic spheres and export expansion (industry, agriculture, mining industry, construction, tourism) etc.

Main Goals: improving safety and comfort, reducing time and financial costs, integrating possible necessary telecommunication and other infrastructures.

The project is implemented in the context of the following RA Government projects: "Reconstruction of Gyumri techno city", "Tatev tourist center", "Development of Jermuk town" and "Zvartnots free economic zone". The implementation of North-South Road Corridor will

significantly contribute to the efficiency of the mentioned projects and to the achievement of program goals.

The Project is implemented by multi-tranche financing. It is subdivided into Tranches and separate loan agreements are signed in the framework of each Tranche.