Istanbul Strait Rail Project to Boost Trade Along Trans-Caspian Transport Route
On March 31, the World Bank approved a $2 billion loan for the Istanbul North Rail Crossing Project (INRAIL), aimed at strengthening railway connectivity across the Istanbul Strait (Bosphorus) and reinforcing Türkiye’s role as a key logistics hub linking Europe, Asia, and the Middle East.
With the Baku-Tbilisi-Kars railway, Turkey serves as a key node in the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. The route connects China and Europe via Kazakhstan, the Caspian Sea, the South Caucasus, and Turkey.
Turkey’s major rail corridors passing through Istanbul, including the Middle Corridor, the Iraq Development Road, and the Turkey-EU corridor, are essential for international trade but currently face a significant bottleneck at the Bosphorus.
INRAIL will involve the construction of a 127-kilometer electrified, high-capacity railway line providing a new overland rail crossing of the strait. The project will utilize the rail-ready Yavuz Sultan Selim Bridge and bypass central Istanbul, increasing both freight and passenger capacity while reducing logistics costs and improving reliability across national and intercontinental transport corridors, including the TITR.
Once operational, rail freight capacity across the Bosphorus is expected to increase from approximately 3 million tons per year to as much as 50 million tons, significantly improving transit times, reliability, and predictability for freight operators.
“By removing a critical rail bottleneck at the Istanbul Strait and enhancing the resilience and efficiency of rail infrastructure, Turkey is boosting its competitiveness and reinforcing its role as a logistics hub,” said Humberto Lopez, World Bank Country Director for Turkey. “INRAIL will also generate benefits for the wider region by connecting to international corridors such as the Middle Corridor and the Development Road, facilitating trade between Europe, Central Asia, and the Gulf.”
The project aligns with Kazakhstan and Türkiye’s broader efforts to develop the Middle Corridor.
In July 2025, Kazakhstan’s national railway operator, Kazakhstan Temir Zholy (KTZ), and TCDD Taşımacılık A.Ş. signed a cooperation agreement to enhance freight transportation along the TITR.
The agreement aims to improve the route’s efficiency and competitiveness by launching regular rail services between Kazakhstan and Turkey, increasing freight volumes along the Baku-Tbilisi-Kars railway, and expanding cargo flows between China and Europe.
KTZ has also held discussions with Mersin International Port, part of PSA International, on expanding cooperation to strengthen the Middle Corridor and develop more efficient multimodal logistics links between Asia and Europe.
KTZ Chairman Talgat Aldybergenov reaffirmed both sides’ commitment to ensuring stable freight volumes and highlighted Mersin’s role as a strategic transshipment hub for the corridor.
To further strengthen the logistics chain, Kazakhstan has proposed leveraging the potential of KPMC, a joint venture between KTZ and PSA International, which is already involved in developing multimodal services along the Xi’an-Istanbul route.



