Azerbaijan Railways: Modernization and Global Collaboration Drive Strategic Growth

Azerbaijan Railways CJSC (AR) leads modernization efforts, enhancing infrastructure and international partnerships for sustainable development and operational excellence. This was reported by the railway transport news portal Railway Supply.

Azerbaijan Railways CJSC (AR) continues modernization efforts and strengthens partnerships to enhance global connectivity. The company recently announced plans to collaborate with Germany’s Rhenus Group, aiming for transformative growth.

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During a pivotal meeting, Azerbaijan Railways Chairman Rovshan Rustamov outlined strategies for electrification and infrastructure upgrades. He highlighted initiatives to boost capacity along international transport corridors like the Middle Corridor.

Key discussions emphasized ecological sustainability and carbon emission reductions, reflecting green logistics as a top priority. Rustamov stressed that digitalization is essential for achieving efficiency and environmental goals. These advancements reinforce Azerbaijan’s status as a vital transport hub.

Rhenus Group’s CEO Tobias Bartz praised Azerbaijan’s strategic importance and expressed commitment to innovative logistics solutions. He highlighted Rhenus Group’s readiness to support Azerbaijan’s railway modernization and foster long-term collaboration.

Sustainable Growth for Azerbaijan Railways

At the 29th UN Climate Change Conference (COP29), Azerbaijan Railways held discussions with the International Union of Railways (UIC) and Poland’s PKP. Topics included addressing climate challenges, implementing modern solutions, and adopting sustainable practices in freight operations.

UIC President Alain Barbey and Rovshan Rustamov explored how digital technologies could enhance transportation efficiency. These conversations align with Azerbaijan Railways’ broader goals for sustainable development and innovation.

Azerbaijan Railways secured $131.5 million from the Asian Development Bank (ADB) to fund the reconstruction of the Sumgayit–Yalama railway section. This project, part of the North–South corridor, totals $160.5 million, with $29 million financed by the government.

Infrastructure Modernization for Future Competitiveness

The project includes modernizing 333 kilometers of railway track, upgrading civil structures, and enhancing safety. Scheduled for completion in 2025, it aims to improve infrastructure and expand financial sustainability. Freight and passenger tariff adjustments will help mitigate market risks and maintain economic stability.

Since 1999, Azerbaijan has partnered with the ADB, securing over $5 billion in investments for key sectors such as transport, energy, and agriculture. These efforts have significantly bolstered Azerbaijan’s global competitiveness.

Strategic infrastructure projects strengthen Azerbaijan Railways’ operational capabilities, ensuring reliable services for international and regional markets. These developments connect Europe and Asia, positioning Azerbaijan as a global logistics leader.

Azerbaijan’s commitment to innovation, sustainability, and strategic growth continues to drive its economic success. The company’s focus on modernization enhances its role in international freight and transport operations, building a sustainable future for the region.

Photo, source: aze.media

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