For Kazakhstan, the development of a railway corridor through Afghanistan is important for diversifying trade routes. Kazakh Deputy Prime Minister Serik Zhumangarin announced this following a series of official meetings with representatives of the Afghan government,according to inbusiness.kz.
Last year, it was reported that Kazakhstan plans to invest $500 million in the construction of the Turgundi–Herat railway line.
“When we say we’re building a railway, it’s not charity. It’s very important to us. This railway is very important because, after all, we have to admit that the East-West corridor has its limitations. We’re currently focusing on multimodal transport; we need to transship goods at the Caspian Sea ports, then transship them again on the other side in Baku, and continue by rail—and that comes with its own challenges. There are also still issues related to transit through Russia, including sanctions and the conflict between Russia and Ukraine. The North-South route is an alternative that opens up a huge market: Southeast Asia, India, and East Africa. “To achieve this, of course, we need to invest money,” the minister told the media.
According to the deputy prime minister, the Kazakhstani government is currently in the process of finalizing the relevant agreements and a memorandum of understanding regarding the railway project. At this point, the UAE and Uzbekistan have joined the effort, and a position from the Turkmen side is expected.
