International North–South Transport Corridor: Investments and Soft Infrastructure

Abstract

The International North–South Transport Corridor (INSTC) is the key element of the Eurasian Transport Network. It is linked to most latitudinal Eurasian transport corridors. The INSTC is now becoming more relevant due to new logistics; however, various infrastructural and non-physical (tariff and non-tariff) barriers hinder its development. Certain routes of the corridor need investment to fill in missing links (unfinished Rasht–Astara section) and eliminate infrastructure bottlenecks. The report contains a database listing infrastructure development investment projects for the three INSTC routes which are either ongoing or in the pipeline in the seven countries of the region. The authors review administrative and other non-physical barriers and discuss potential elimination measures, including coordination of tariff policies, consistent border crossing procedures, transition to digital procedures and shipping documents, and creation of a corridor management mechanism.

Keywords: INSTC, international transport corridors, transport infrastructure, Eurasian Transport Network, international trade, EAEU, Caspian region, Central Asia

JEL Classification: F15, F17, L92, O19, R11, R41