Harmonization of customs rules essential for regional transport corridors, IMF official says

The development of transport corridors in the South Caucasus and Central Asia is impossible without the harmonization of customs rules, regulatory standards, and permit issuance procedures, Deputy Director of the IMF's Middle East and Central Asia Department Subir Lall said at a briefing on the Regional Economic Outlook, Report informs.

The IMF official emphasized that alongside building hard infrastructure - such as roads and transport connections - the development of soft infrastructure is of critical importance.

According to him, even with high-quality roads, improving transport connectivity within and beyond the region could slow down significantly if cargo is delayed for several days at borders due to customs barriers, regulatory differences, and permit issues.

"Policymakers need to focus on regulatory matters, rule compatibility, and harmonization to stimulate the development of the region's economic corridors and ensure they can be fully utilized by all countries," Subir Lall stressed.