AIIB Approves $150 Million Loan for Almaty Rail Bypass
The Asian Infrastructure Investment Bank (AIIB) has approved a $150 million loan to support the Almaty Railway Bypass Project, a major infrastructure initiative aimed at improving freight efficiency, urban mobility and regional connectivity in Kazakhstan. The financing will be provided to Kazakhstan Temir Zholy (KTZ) under a non-sovereign structure, the bank reported.
As part of a wider funding package, the International Finance Corporation (IFC), AIIB, and the Multilateral Investment Guarantee Agency (MIGA) will jointly provide up to $300 million equivalent in Swiss francs, combining IFC and AIIB investments with a MIGA guarantee. The partnership underscores strong international confidence in Kazakhstan’s transport modernization strategy.
The project will finance the construction of a new single-track electrified freight railway bypass along Almaty’s northern perimeter, covering approximately 75 kilometers between Zhetygen and Kazybek Bek stations. The route will create a dedicated freight corridor outside the city center and include new stations, bridges, overpasses, and terminal upgrades.
The bypass is expected to reduce congestion, increase capacity for passenger services, lower emissions, and strengthen Kazakhstan’s role in regional transit across Eurasia, including along the Middle Corridor trade route.
Photo credit: AIIB
