Mher Sahakyan, PhD (Director, “China-Eurasia Council for Political and Strategic Research)
In contemporary Eurasian mainland there are three main integration developments: European Union (EU), Eurasian Economic Union (EAEU) and One Belt, One Road (OBOR). The one of the main aims of these 2 programs and 1 initiative, which coincide with each other, is to develop transportation infrastructures. If we pay attention to this triangle, we will see that through its entire territory leading attendees are building land and maritime connections between Asia and Europe. The priority is given to developments of roads, railroads, ports, pipelines, digital interconnection, etc. As a result, the infrastructures of the states which are actively participating in these integration developments are emerging and they are strengthening their ties with the leading centers of these projects and initiative such as Germany, France (EU), Russia (EAEU), China (OBOR).
The other emerging Eurasian project “International North-South transport corridor”, which was initiated by Russia, India and Iran also strengthens its role in connecting Asia with the Europe, which through developing transportation infrastructure connects Indian Mumbai to Russian Moscow. These kinds of transport integration developments provide great opportunity to states, which are located in the center of Eurasian continent to connect their transportation infrastructures with the main corridors which are bridging East with the West and North with the South.
In one hand, Armenia is a member of the EAEU and in the other hand it strengthens its cooperation with the EU. Yerevan speaks also about its commitment to strengthen cooperation in the field of transportation with China in the framework of China’s OBOR initiative. It is worth mentioning, that for standing transit country in transportation corridors which unites different regions of the Eurasian continent, Armenia, at first must develop and modernize its poor developed transportation infrastructure. For this reason, Armenia is building 556 km North-South Road Corridor, which will start from Armenian-Iranian border and reach to Armenian-Georgian border.
In sum, Armenia will be able to be involved in the transport corridors which are connecting East to West, if it successfully finishes construction of its North-South road corridor. Building of the North-South Corridor will provide an opportunity to Armenia to strengthen its economy, security and geopolitical role. It is also worth mentioning, that the main aims of Armenian North-South program are fully correspondent with interests and philosophies of the UN Economic Commission for Asia and the Far East’s “Asian land infrastructure development program, ”China’s OBOR initiative, EU’s TRACECA, Russia’s lead EAEU, International North-South Transport Corridor (India, Russia, Iran, etc.).
The Internal and External Factors of the Armenian North-South Road Corridor
The Internal Factors
Armenian North-South Road Corridor on both in internal and external levels will affect on further development of Armenia’s economic development. At first let’s discuss what kind of influence can have the implementation of this program on inner Armenian developments? It is worth mentioning that in the 21-st century, which is the era of globalization, free trade and movement, it is impossible to develop the economy of any country without constructing and modernizing transportation infrastructures of that state, which in turn must be connected with the international transport networks. Well developed, high-speed road networks play a crucial role in economic growth of every country, as they conduce to harmonize interconnected cooperation between different spheres (industry, agriculture, etc.) of economy. Meanwhile, the absence or bad condition of the roads increases transportation charges, rises unnecessary loss of time. These circumstances, in turn, have a negative impact on the final formation of the product price. Thus the final construction and exploitation of the North-South road corridor will make it’s important contribution on Armenia’s economic growth, as Armenian business companies, which are spread from South to North will be able to use this transport corridor and improve cooperation with each other, they will be able to easily transport their goods to the markets of the other cities and villages, the prices of the transportation will go down and the movement of people will also stand easy, in turn it will simulate the development of internal tourism. The above-mentioned conditions will foster the development of Armenian economy, as a result new working places will be opened. Armenia will stand more attractive for the foreign investors.
The implementation of the North-South road corridor will also increase security of Armenia. It is worth mentioning, that for the victory in the contemporary wars, one of the main important factors is the fast movement of military units and equipment and in this context North-South will strengthen Armenia’s security and combat readiness of the Armenian Armed Forces. Thus, taking into consideration aforementioned facts it is very important to support to implement this project, increase confidence in Armenian society and among the members of the International society.
The External Factors
It is true, that some transport infrastructures are being built in the neighboring regions of Armenia, but it is worth mentioning, that because of the policies of some regional powers, Armenia is not involved in some of these projects (for instance Baku-Tbilisi-Kars railway), they are bypassing Armenia. This is a challenge against Armenian national security and Armenia must take appropriate steps for not being isolated. Thus, Armenia must finish construction of the North-South road corridor and through it to join the international road networks.
As we have mentioned in Eurasian mainland there are two integration projects-EU and EAEU and one integration initiative-OBOR. Every, has its own component for development of the transportation communications. Due to the aims of these integration developments, the economies of Asian states will be connected to Europeans. If Armenia to finish its North-South road corridor, it will get an opportunity to be involved in OBOR’s Silk Road Economic Belt’s China-Central Asia-West Asia economic corridor, it will strengthen its role in the EU’s TRACECA and in the other international transportation networks. It is also worth mentioning, that the implementation of Armenian project coincides with the aims of the main players of the Eurasian mainland-EU, EAEU and China, as it will stand the other bridge, which will connect Europe with Asia. I do believe that implementation of the Armenian North South transport corridor is fully correspondent with the interests of the EU, EAEU and China as well. If we also consider the International North-South Transport Corridor which aims to connect Mumbai with Moscow, we can come to conclusion that Armenia can integrate its North-South road corridor in it, as one of the main players in this program is Russia, I do believe that Yerevan’s strategic ally-Moscow will be also very interested in involvement of Armenian infrastructure in this program, additionally, it is worth mentioning, that Armenia has also normal relations with India and Iran.
It is true, that for now Armenia has not good relations with Turkey and Azerbaijan, but sooner or latter the problems between neighboring states must be solved. If Armenia builds its North-South Road Corridor it will get an opportunity to increase its role in the region and offer its transport infrastructure to regional and non-regional players, also connecting its roads with the international transport network.
In sum, the North-South road corridor is very important project for Armenia as it will help to grow Armenian economy, will strengthen its security and will increase geopolitical role of Armenia in the region. Thus, Armenians in Armenia and Diaspora must be interested in building this road corridor with united efforts.
The construction of the North-South Corridor will have its spillover on developing different spheres of the science in Armenia affiliated with road construction, as this corridor is being built with the modern technologies and many international leading companies from different countries are participating in the implementation of this project, thus Armenian specialists and companies work with them getting great opportunity to improve their knowledge and experience, which further they can already use in construction of other roads in Armenia and abroad.
Armenian North-South road corridor, which is being constructing under the leadership of “Transport Project Implementation Organization” State Non-Commercial Organization, will stand the other bridge which will connect Asia with Europe and it will strengthen security of transportation networks and interconnection between Europe-South Caucasus-Middle East-Far East, as a result it will have great impact on the economy of the South Caucasus and will have its own contribution on peacebuilding. It is worth mentioning that Armenian North-South Road Corridor has a cooperative character and it is open for every representative of the International society. The Construction of the Armenian North-South road corridor is the best example of multilateral cooperation between different nations, as in the building of this important regional corridor companies from China, Spain, France, Italy, Iran and several international institutions as Asian Development Bank, World bank, European Investment Bank, European Bank of Reconstruction are attending. It is also open for the new partners as the construction of the 4-th tranche of the road will start soon.