The Asian Development Bank (ADB) will provide a loan of 750 million USD (645 million euros) to help finance the construction of the future railway across the Bosphorus. The funds will cover a little less than 10% of the project’s total cost, estimated at 8.27 billion USD (7.16 billion euros).
The 127-kilometre line, also known as INRAIL, will create a high-capacity link bypassing the Turkish capital Istanbul. Various international financial institutions are expected to co-finance the initiative. The funds made available by the ADB are the first of two loans to help fund the project, “with the second loan for the same amount anticipated for consideration in 2028”.
Moreover, the World Bank made 2 billion USD (1,73 billion euros), while the European Bank for Reconstruction and Development allocated 500 million euros. Additional support should come from Asian Infrastructure Investment Bank, Islamic Development Bank, and Organization of the Petroleum Exporting Countries Fund for International Development, ADB added. In total, these parties want to raise 6.75 billion USD (5.8 billion euros), while the rest should be covered by Türkiye.
From 3 to 50 million tonnes
Currently, a rail line runs on the southern side of the Bosphorus, passing through Istanbul. The new section, on the other hand, will run on the northern side, avoiding the capital and allowing for higher capacity. Once completed, the double-track electrified infrastructure will allow for a capacity increase from 3 to 50 million tonnes annually. Other than for the Turkish domestic market, the new line should also benefit Middle Corridor traffic, where the country plays a key role as an overland link between Europe and Asia.