Deputy Minister of Finance: Tbilisi bypass road is a necessity; project completion deadline fixed for 31 December 2031

The Roads Department is launching the construction phase of the Tbilisi bypass road project, supported by a USD 250 million loan from the Asian Development Bank (ADB) to the Georgian government.

The loan agreement between Georgia and the ADB was reviewed and formally endorsed during a sitting of Parliament’s Foreign Relations Committee today, where First Deputy Minister of Finance Giorgi Kakauridze presented the details to lawmakers.

“We are all well aware of the congestion at the entrance to Tbilisi. Consequently, building a bypass road became an absolute necessity. The project has been divided into two funding components across five distinct lots. The first three lots are state-funded; procurement procedures for these have already commenced under our current budget allocation. The Asian Development Bank will fund the fourth and fifth lots through this USD 250 million facility. This is a 23-year loan with an eight-year grace period, bearing a floating interest rate based on SOFR plus a fixed margin of 0.7%. As of July, SOFR stood at approximately 3.8%. The Roads Department will serve as the implementing agency, with full project completion scheduled for 31 December 2031,” stated First Deputy Finance Minister Giorgi Kakauridze.

According to the project’s explanatory note, the scheme encompasses the construction of an 18.9-kilometre, four-lane dual carriageway. This section comprises Lot 4 (spanning from the Tbilisi Airport junction to the Lochini junction) and Lot 5 (linking Lochini to the Rustavi junction), together with all associated access roads and service lanes. Supported by international experts, the project will also enhance the Roads Department’s asset management and maintenance capabilities, digitise road infrastructure assets, and roll out a public safety awareness campaign aligned with the National Road Safety Strategy.