Türkiye Wins Over $400M in AIIB Funding for Rail Upgrades

Türkiye has secured 350 million euros ($408 million) in financing from the Asian Infrastructure Investment Bank (AIIB) for the maintenance and modernization of its railway infrastructure.

The funds will be used for building new lines, upgrading existing ones and purchasing high-capacity machinery for control, measurement and maintenance, the report said, The Caspian Post reports citing Turkish media.

Türkiye's efforts to secure favorable external financing continue uninterrupted, according to information obtained by AA from the Treasury and Finance Ministry.

Most recently, financing was secured for the "TCDD Railway Maintenance Modernization Project," carried out by the Turkish State Railways (TCDD). A total of 350 million euros was provided from AIIB to finance the project.

Treasury and Finance Minister Mehmet Şimşek said in a post on X that the deal brings the total external financing Türkiye has secured for project investments this year to $15 billion.

Foreign financing provided for transportation projects to develop the country's railway infrastructure has exceeded $5 billion, the AA report indicated.

Including the TCDD loan, the amount of financing secured from the AIIB through the Ministry this year has reached $800 million, it also said.

"Rail investments will boost competitiveness, cut carbon emissions and facilitate our compliance with the EU's Carbon Border Adjustment Mechanism," Şimşek added.