EBRD considers financing Turkiye’s new 127 km Bosphorus railway linking Asia and Europe

The European Bank for Reconstruction and Development (EBRD) is considering providing up to €500 million in sovereign financing for a new 127-kilometre railway in Turkiye that will connect the country’s Asian and European regions. The line is expected to strengthen international transport corridors, including the Middle Corridor.

AzerNEWS reports that the planned railway will start at Çay?rova station on the Asian side and terminate at Çatalca station on the European side. It will cross the Bosphorus via the Yavuz Sultan Selim Bridge—also known as the Third Bridge—using a section specifically designed for railway use. The line will be double-tracked, electrified, fully signalled, and capable of handling both passenger and freight traffic.

The project aims to complete a missing link in three major international railway trade corridors passing through Istanbul:

The Trans-Caspian Middle Corridor, connecting China and Central Asia with Europe via rail and maritime routes;

The “Iraq Development Route,” linking Asia to the European Union through Turkiye and the Middle East by rail;

The Turkiye–EU corridor, which handles approximately one-third of Turkiye’s international trade.

“The project is designed to enhance the resilience, efficiency, and competitiveness of Turkiye’s national logistics network, significantly increase freight transport capacity, and boost the share of rail transport. It will also create opportunities for private-sector investment and innovation in logistics services,” the bank said.

Additionally, Istanbul Airport (IST) on the European side and Sabiha Gökçen International Airport (SAW) on the Asian side will be connected to the railway network, improving accessibility for air and rail travellers alike.

The total cost of the project is estimated at around €7.8 billion and will be co-financed by the World Bank, Asian Infrastructure Investment Bank, Islamic Development Bank, Asian Development Bank, and the OPEC Fund for International Development.

The Middle Corridor traverses several countries, linking Asia and Europe as an alternative to traditional northern and southern transport routes. Beginning in China, it passes through Central Asian countries such as Kazakhstan, Uzbekistan, and Turkmenistan, crosses the Caspian Sea, continues through Azerbaijan, Georgia, and Turkiye, and finally reaches Europe. This route offers a shorter overland alternative to longer maritime routes connecting East Asia, including China, with Europe.