ADB Approves $400 Million to Upgrade CAREC Border Crossings

Tashkent, Uzbekistan (UzDaily.uz) — The Asian Development Bank (ADB) has approved a $400 million regional financing facility named BUILD to modernize border crossing points, reduce transport and logistics costs, and improve the movement of people and goods across the Central Asia Regional Economic Cooperation (CAREC) region, according to the bank.

The Border Upgrades for Integration, Logistics, and Development (BUILD) facility will finance priority investments in border infrastructure, strengthen connectivity, and boost competitiveness among CAREC member countries.

"Borders are not just checkpoints. They are gateways to creating jobs, developing regional markets, and expanding opportunities for income generation," said ADB Director General for Central and West Asia Leah Gutierrez.

Gutierrez stated that the BUILD facility will enable CAREC nations to establish faster, more modern, and better-connected border crossings, which is expected to address inefficiencies by bringing economies closer, expanding cross-border markets, and developing economic corridors.

The modernization effort addresses ongoing bottlenecks at border crossing points along CAREC transport corridors, where trade growth, infrastructure constraints, capacity limits, and outdated border management procedures continue to delay movement.

According to ADB assessments, current border constraints lead to economic losses and create difficulties for transport operators, trade enterprises, and passengers while escalating risks linked to human trafficking, environmental degradation, and public health threats.

Funds allocated under the BUILD facility will target priority projects across rail and road checkpoints in CAREC countries. Planned measures include constructing modern infrastructure, deploying digital systems, and installing high-tech inspection and control equipment.

Efforts will also focus on streamlining and harmonizing border control procedures to lower crossing times and associated costs.

Additionally, the facility provides for strengthening institutional capacity, supporting transport and logistics sector reforms, and encouraging private sector participation.

The BUILD initiative is designed to generate opportunities for private investment while bolstering micro, small, and medium-sized enterprises in sectors such as agriculture, tourism, and transport services, enabling them to engage more effectively in regional trade.

The CAREC program comprises Afghanistan, Azerbaijan, Georgia, Kazakhstan, the Kyrgyz Republic, Mongolia, Pakistan, China, Tajikistan, Turkmenistan, and Uzbekistan. Member countries collaborate with development partners to promote sustainable growth through regional cooperation, with ADB serving as the CAREC Secretariat.

Established in 1966, the Asian Development Bank is owned by 69 members, 50 of which are located within the Asia-Pacific region.