Türkiye Secures $2.8B Green Financing for Nakhchivan Rail Project

Türkiye has secured approximately $2.8 billion in green financing for a railway project aimed at establishing a direct rail connection to Azerbaijan's Nakhchivan exclave.

Thanks to the efforts of the Treasury and Finance Ministry, 2.4 billion euros ($2.8 billion) of external financing has been obtained for the Kars-Iğdır-Aralık-Dilucu Railway Project, which will strengthen Türkiye's regional railway connection, the report said, The Caspian Post reports citing Turkish media.

Treasury and Finance Minister Mehmet Şimşek reposted the article by AA on his X account and said the financing will strengthen Türkiye's infrastructure, competitiveness and efficiency.

Ankara signed the agreement with a group of lenders led by Japan's MUFG Bank, the report said, adding the package is backed by Sweden's EKN and Austria's OeKB export credit agencies, as well as a unit of the Islamic Development Bank.

The project is part of Türkiye's broader infrastructure strategy and is expected to enhance regional trade and connectivity while supporting green transition goals.