EBRD targets stronger regional connectivity in Central Asia, Türkiye, South Caucasus with €6bn

The European Bank for Reconstruction and Development (EBRD) has invested more than €6 billion to strengthen regional connectivity across Central Asia, Türkiye and the South Caucasus.

According to Report, EBRD Vice President for Banking Operations Matteo Patrone announced the figures at the Investment Forum on the Trans-Caspian Transport Corridor and Connectivity, held in Tashkent.

Patrone said the region must transition from one-off projects to systemic reforms and from financing standalone assets to delivering comprehensive, interconnected solutions.

"However, the challenge remains significant. Countries in the region still rely heavily on state financing, while private sector involvement is limited," he stated. "To move forward, we must combine the resources of international financial institutions and commercial financing with guarantees, grants, and mechanisms to reduce political risk. This will help lower investment risks and attract private capital. Stronger technical cooperation, capacity-building, reliable public-private partnership projects, and - crucially - regional coordination with harmonised legal and institutional frameworks are needed."

Huseyin Ozhan, EBRD Managing Director for Central Asia and Mongolia, said the bank has allocated more than €800 million over the past two years to transport and logistics projects, benefiting both state and private companies.

"The EBRD has built a strong project pipeline that is ready for further expansion," he noted.

During the forum, the European Union and EBRD also agreed to provide an additional €31 million to support sustainable transport connectivity in Central Asia. The funding will go toward developing greener and safer routes, increasing cargo capacity at Kazakhstan"s Aktau port, and modernising a key section of the Bishkek–Kara-Balta highway.

As of 30 September 2025, the EBRD"s current loan portfolio in Azerbaijan stood at €948 million. Of that total, 89% (€842 million) is directed toward sustainable infrastructure, 6% (€56 million) to the financial sector, and 5% (€49 million) to the corporate sector.

In total, the EBRD has invested €3.661 billion in Azerbaijan across 200 projects.