Regional Connectivity and Development Project

active

Operation Abstract: Summary Description of Proposed Project (Approved as part of Approval package on 20 May 2021)The project will finance rehabilitation of selected sections of the M3 Salyan-Bilasuvar road, which now forms a parallel access road for local communities. The key project road comprises a section of the original M3 road, which initially served as the main North-South corridor connecting capital city of Baku with the southern part of the country and Iranian border. The road remains in use and is critically important to service local and non-motorway traffic. The project road is in poor condition and requires rehabilitation to properly serve densely populated proximate residential areas and provide a safe alternative to the motorway. The footprint of the road will not be expanded by the project largely eliminating the need for land acquisition. Design of the road will improve road safety and introduce adaptation measures to improve resilience to climate change impacts.The Project will also support modernization of the network management and operation efficiencies through application of intelligent transport systems (ITS) by exploring needs and opportunities for establishment of an integrated network-wide management system incorporating electronic tolling, heavy vehicle monitoring, and other ITS modules.The Project also aims to provide support to planning and development of road-side logistics and market services. The activity will involve technical assistance for planning and development of roadside logistics and market facilities, as well as for delivering training and advisory services specific to small-scale producers and service providers, operating in the project area.Overall, the project has been designed to support regional development in the southern part of Azerbaijan and economic activities and employment generation in the post-pandemic recovery period.The proposed Project is well aligned with the objectives of the World Bank’s current Country Partnership Framework (CPF) for Azerbaijan for FY 2016-20. The Project will contribute to the development of the secondary road network, by enhancing domestic connectivity for sustainable infrastructure services (CPF Focus Area 2, Objective 2.1) and supporting enhanced competitiveness of agriculture and rural development (CPF Focus Area 2, Objective 2.4). The operation also aligns with the CPF’s two cross-cutting themes of Gender and Governance, recognized as critical for effective management of resources, social inclusion and accumulation of diversified human capital.