Georgia's Roads Department has relaunched an international tender for the construction of a new four-lane highway connecting the country with Armenia and Azerbaijan. The project, valued at €250 million (GEL 754 million), will be financed through a loan from the European Investment Bank (EIB).
The tender was initially announced in August 2024, with construction expected to begin in 2025, but it was canceled in March 2026 due to low competition. Since then, the government has continued land acquisition for the project, including additional expropriations, while also launching a separate €19 million tender for construction supervision services.
The new highway will begin in Rustavi and branch toward the Red Bridge border crossing with Azerbaijan and the Sadakhlo border crossing with Armenia. The project covers the construction of 61.3 kilometers of four-lane motorway across four lots: Rustavi–Algeti (21 km), Algeti–Red Bridge (10.9 km), Algeti–Arakhlo (13 km), and Arakhlo–Sadakhlo (16.3 km). All sections are designed for speeds of up to 120 km/h.
The new motorway will replace the existing two-lane roads, which currently pass through populated areas, improving capacity and bypassing settlements to reduce congestion and improve regional connectivity. Interested bidders have until August 14, 2026, to submit proposals.
