Trans-Caspian Route - The Times Of Central Asia

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Middle Corridor

The World Bank Backs Kazakhstan’s Rail Shortcut

On February 19, 2026, the World Bank Board approved an $846 million IBRD guarantee to help the state-owned railway company Kazakhstan Temir Zholy (KTZ) mobilize $1.41 billion in long-term commercial financing. The financing is linked to a KTZ reform program under the umbrella “Transforming Rail Connectivity in Kazakhstan (Middle Corridor Development)” initiative. The purpose is to expand rail connectivity and upgrade logistics on Kazakhstan’s segment of the Trans-Caspian International Transport Route (TITR, Middle Corridor). The Asian Infrastructure Investment Bank (AIIB) will add a $564 million co-guarantee that shifts the financing away from a classic sovereign-loan model and toward private credit backed by multilateral risk coverage. The Multilateral Investment Guarantee Agency (MIGA) presents this operation as part of a wider World Bank Group approach that pairs corridor capital expenditure with steps to strengthen the operator’s financial sustainability and commercial viability. The operation is structured as a two-part package. First, it finances a new 322.3-kilometer railway on a new segment between Mointy and Kyzylzhar in central Kazakhstan. This segment is meant to remove a major network detour, shorten the TITR route within Kazakhstan by 149 kilometers, ease congestion on heavily used sections, and support double-stack container operations. The line is planned with modern signaling and telecommunications, plus design provisions for later expansion and electrification. Second, it ties the construction to a reform program at KTZ, including tariff reform, exploration of alternative financing mechanisms, stronger financial and environmental management, and preparatory work for a potential initial public offering. The World Bank is structuring delivery through a Multi-Phase Programmatic Approach with the stated aim of tripling freight volumes and halving end-to-end transit times on Kazakhstan’s Middle Corridor segment by 2030. Why This Segment Matters for the Middle Corridor Inside Kazakhstan, the Mointy–Kyzylzhar line is a central connector in the Trans-Kazakhstan east–west trunk carrying traffic from the China-facing gateways at Dostyk and Khorgos toward the Caspian outlets at Aktau and Kuryk. Mointy itself is a pivotal junction where train paths, locomotives, and crews are redistributed across multiple directions; as a result, any congestion there propagates quickly into corridor-wide delays. In early 2025, President Kassym-Jomart Tokayev directed acceleration of the Trans-Kazakhstan corridor. KTZ says the expected benefits include decreased pressure on heavily used central segments, fewer locomotive changeovers at key junction points, and, on some routings, the potential to cut more than a day from transit time between the Chinese border and Aktau. The World Bank’s 2023 Middle Corridor study stressed that the corridor’s most durable growth driver is regional trade among the core corridor economies: China–Europe movements remain important, but they compete with multiple alternatives, above all maritime shipping. An infrastructure upgrade adds economic value only if it reduces variability at the handoff points where delays accumulate, including rail-to-port interfaces, Caspian coordination, and national borders. Relieving the domestic bottleneck in Kazakhstan is economically meaningful only insofar as it stabilizes arrival times to Caspian terminals, creates more room for dispatching, and helps logistics providers offer shippers more predictable end-to-end service along the TITR. The emphasis is...

maritime infrastructure

Kazakhstan to Digitalize Seaports to Boost Trans-Caspian Transport Route

Kazakhstan is advancing the digital transformation of its maritime infrastructure as part of broader efforts to strengthen the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. The Ministry of Transport is developing an electronic Maritime Single Window system designed to replace paper-based documentation with digital data exchange for vessel entry and exit procedures at the country’s seaports. The initiative is included in the Roadmap for the Digitalization of Kazakhstan’s Transport Industry for 2025-2027. According to the ministry, the project is being implemented with support from the German Society for International Cooperation (GIZ). An international tender has already been held to select experts responsible for preparing the system’s technical specifications. In February, working meetings were held with stakeholders in Aktau and Kuryk, Kazakhstan’s two largest ports on the Caspian Sea. Discussions focused on port digitalization, simplifying administrative procedures, and reducing vessel processing times through the introduction of the Maritime Single Window. The project is viewed as a key component in the further development of the TITR, which connects China with Europe via Central Asia and the South Caucasus. By streamlining port operations and reducing bureaucratic delays, Kazakhstan aims to enhance the route’s competitiveness and reliability. Kazakhstan’s maritime transport sector has recorded steady growth in recent years. In 2025, maritime cargo volumes reached 8 million tons, a 7% increase compared to 2024. Container traffic through Kazakh seaports rose by 29% to 90,637 TEUs, while cargo volumes transported along the TITR increased by 36%. Infrastructure development has accompanied this growth. In 2025, construction of a container hub at the port of Aktau was completed, a dry cargo vessel was launched on the Kuryk-Baku route, and two new ferries were acquired. Overall transit cargo traffic through Kazakhstan reached 36.9 million tons in 2025, up 6.6% year on year, driven by the integrated development of road, rail, air, and maritime transport. Under the country’s comprehensive maritime infrastructure development plan for 2024-2028, Kazakhstan intends to establish a major transport and logistics cluster based on the ports of Aktau and Kuryk. The plan includes the expansion of container handling capacity, development of cargo terminals and international shipping logistics, and a reduction in administrative barriers. By 2028, total cargo throughput at the ports is expected to increase by 50%, while container handling volumes are projected to triple. To ensure year-round navigation and maintain competitiveness amid changing environmental and logistical conditions in the Caspian region, Kazakhstan has also prioritized dredging works, including the deepening of the ports of Aktau and Kuryk.

Freight Industry

New Port in Mangystau: Strategic Asset or Risk of Overcapacity?

Kazakhstan has announced plans to build a new seaport in the Mangystau region, presenting the initiative as a strategic move to strengthen the country's role in the East-West transit corridor. However, with existing Caspian ports in Aktau and Kuryk operating at less than one-third of their capacity, questions are being asked about whether the project addresses actual logistical needs or merely redistributes existing cargo flows. Kazakhstan’s current maritime infrastructure on the Caspian Sea includes the ports of Aktau and Kuryk, which together have a combined throughput capacity of over 27 million tons per year. Yet, in the first nine months of 2025, transshipment volume stood at only 6 million tons, despite a 9% year-on-year increase, placing current utilization at roughly 30%. Despite this, authorities in the Mangystau region argue that the proposed port in Karakiya district will boost national transit capacity, shorten delivery times on the China-Europe route by 7-15 days, and reduce logistics costs by 18-25%. The port’s design capacity is projected at 20 million tons annually. Proponents of the project cite periodic bottlenecks at Aktau and Kuryk, such as temporary loading restrictions and railcar congestion, as justification for new infrastructure. Still, forecasts from international institutions suggest that freight volume on the Trans-Caspian route could reach 10-11 million tons by 2030, while the eastern branch of the North-South corridor may handle up to 24.7 million tons. In light of these projections, some question whether expanding and modernizing existing facilities might be a more cost-effective solution. Indeed, upgrades are already underway. The container hub in Aktau is set to increase capacity to 250,000 TEU, while the multifunctional Sarzha terminal in Kuryk is expected to handle up to 12 million tons annually, developments that could significantly enhance throughput without requiring large-scale capital investment. Investment details are also attracting scrutiny. The new port’s estimated construction cost is $300 million, with several Chinese companies, owners of cargo bases and logistics assets, lined up as investors. Observers warn this could lead to a shift in transit flows in favor of the new facility, undermining existing ports in a scenario of economic “cannibalization.” There are also concerns about whether concession agreements might include compensation clauses for underutilized capacity, placing additional financial risk on the state. The project is slated to unfold in three phases: construction from 2025 to 2027; joint operation with Chinese partners from 2028 to 2037; and a phased transfer of management to the Kazakh side after 2038. The development is expected to create more than 2,000 jobs and will feature a railway connection and automated container terminal. In parallel, regional authorities are exploring maritime tourism as a complementary development strategy. Plans include launching Caspian Sea cruise routes and enhancing passenger facilities at the port of Kuryk, with a goal of attracting up to 625,000 tourists annually by 2028, envisioning a synergistic effect for the broader transport sector. While Mangystau has the potential to emerge as a key logistics hub in Central Asia, the success of the new port will hinge not on...

Trade and Logistics

China’s Zhongyun to Partner on $300M Seaport Project in Aktau

A new $300 million seaport is set to be built in Aktau, with China’s Zhongyun International confirmed as the strategic partner. The announcement was made by Nurdaulet Kilybay, Akim (Governor) of the Mangistau region, during a government meeting on November 25. Located on the Caspian Sea in western Kazakhstan, the port of Aktau connects to Azerbaijani ports Baku and Alyat to the west, and to the Iranian port of Bandar-e Anzali to the south. The Aktau-Alyat ferry crossing plays a key role in the Trans-Caspian International Transport Route, part of the larger Belt and Road Initiative linking China to Europe via Kazakhstan, Azerbaijan, Georgia, and Turkey. The route significantly shortens delivery times to the European Union. Aktau’s current cargo port has a capacity of 3.2 million tons of dry goods and 12.5 million tons of crude oil annually. In June 2025, the first phase of a $38 million container hub was launched in Aktau, expanding the port’s capacity from 140,000 to 240,000 twenty-foot equivalent units (TEU). Over the summer, Mangistau authorities held talks with several Chinese firms about building a modern seaport and logistics center in Aktau. Zhongyun International has since registered a local subsidiary and is preparing documentation for an investment agreement. “This project will contribute to the formation of a new international transport corridor: China-Kazakhstan-Aktau-Baku-Poti-Europe. Its implementation will cut delivery times by 7-15 days, reduce transport costs by 18-25%, and create new jobs,” Kilybay said. Additional Infrastructure at Kuryk Port At the same meeting, Minister of Trade and Integration Arman Shakkaliev reported on progress at the Sarzha multifunctional marine terminal in the port of Kuryk, located on the eastern Caspian coast near Aktau. The $189 million project is being developed with private investment. “The general cargo terminal and temporary storage facility are now operational, and cargo transshipment has already begun,” Shakkaliev said. Terminals for grain, bulk, chemical, and universal cargo, as well as a transport and logistics center, are currently under construction. The port of Kuryk now handles up to 6 million tons of cargo per year, 4.1 million tons via the railway terminal and 1.9 million tons via the road terminal. In 2024, dredging works in the port’s waters were completed ahead of schedule, enabling deeper drafts and the full loading of vessels.

Middle Corridor

Kazakhstan, Azerbaijan, Georgia, and China Deepen Cooperation on Trans-Caspian Transport Corridor

Railway companies from Kazakhstan, Azerbaijan, and Georgia have signed a cooperation agreement with China Railway Container Transport Corp., Ltd. (CRCT) to jointly develop the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor – a strategic link connecting China and Europe via Central Asia and the South Caucasus. The agreement was signed during the Second China Railway Express Cooperation Forum, held on 18 November in Xi’an, under the theme “Connecting Asia and Europe for a Shared Future.” According to Kazakhstan Temir Zholy (KTZ), the country’s national railway operator, the agreement establishes formal cooperation between Chinese railways, through CRCT, and MIDDLE CORRIDOR MULTIMODAL Ltd., a joint venture created in 2023 by the railway companies of Kazakhstan, Azerbaijan, and Georgia. The initiative aims to enhance the efficiency, safety, digitalization, and sustainability of China-Europe rail container transport services along the trans-Caspian route. Kazakhstan, Azerbaijan, and Georgia play key roles along the TITR, which offers a vital alternative trade corridor between China and Europe that bypasses Russia. In recent years, Kazakhstan has strengthened its position as a regional transit hub. KTZ reports that freight transportation between Kazakhstan and China has increased more than 4.5-fold over the past decade. For 2025, total freight volume is projected to reach 35 million tons, with over 29 million tons transported in the first ten months, an 11% year-on-year increase. Joint infrastructure projects in China and Kazakhstan, including hubs in Lianyungang, Khorgos, and Xi’an, continue to demonstrate strong growth. Container shipments have more than quintupled in the past ten years, exceeding 1.4 million twenty-foot equivalent units (TEUs). Momentum along the Trans-Caspian route also remains strong: the number of container trains increased by 12% in the first ten months of this year. To capitalise on this growth, Kazakhstan is investing in railway infrastructure. Modernization and construction of 5,000 kilometers of railway track is underway, which will raise the country’s annual cross-border freight capacity with China to 100 million tons in the coming years.

Middle Corridor

Official Meetings in Almaty Boost Efficiency of Trans-Caspian Transport Route

Almaty hosted a high-level meeting on October 1 of delegations from countries participating in the Trans-Caspian International Transport Route (TITR). The TITR is also known as the Middle Corridor, a strategic Eurasian trade link connecting China, Central Asia, and Europe. Senior officials from Azerbaijan, Georgia, Kazakhstan, and Turkey convened to discuss ways to enhance the corridor’s efficiency and competitiveness. Key Agreements Signed Among the main outcomes was the signing of an action plan aimed at removing bottlenecks along the TITR. The document outlines coordinated measures by the railway companies of Kazakhstan, Azerbaijan, and Georgia to streamline cargo transportation. The plan includes the introduction of a unified long-term tariff across the corridor and strategies to expand its overall capacity. Another major development was an agreement between the European Bank for Reconstruction and Development (EBRD) and JSC Aktau International Sea Trade Port to modernize port infrastructure and acquire new ship-to-shore cranes. The initiative, supported by up to €45 million in financing from the EBRD and the European Union, aims to significantly boost container-handling capabilities at Aktau, Kazakhstan’s principal maritime hub on the Caspian Sea. The project includes the extension of two berths and the acquisition of weather-resistant cranes, enabling the port to operate two fully dedicated container berths. By the end of 2026, Aktau is expected to host the largest container terminal in the Caspian region, with an annual handling capacity of up to 240,000 twenty-foot equivalent units (TEUs). Regional Cooperation Under the OTS Also on October 1, Almaty hosted the 8th meeting of transport ministers of the Organization of Turkic States (OTS), which includes Azerbaijan, Kazakhstan, Kyrgyzstan, Turkey, and Uzbekistan. The ministers focused on accelerating the development of the TITR through greater adoption of digital technologies and electronic transit systems. Participants endorsed initiatives to enhance maritime transport, including expanded Caspian shipping, the construction of new transshipment facilities, and the launch of additional ferry services. The meeting also backed efforts to establish regular block train operations, particularly along the Baku-Tbilisi-Kars railway corridor.