Wednesday, June 20, 2012 -
The Tajik government said on Wednesday it will offer generous tax incentives to foreign construction firms as an incentive to build a vital 7,700-foot railway tunnel in the mountainous republic.
The structure located six miles east of the capital Dushanbe is to form part of an inter-regional railroad project that will connect Iran with China, via Afghanistan, Tajikistan, and Kyrgyzstan.
The Dushanbe-Vahdat tunnel and railway should be completed in two years, Minister of Finance Safarali Najmiddinov told a session of parliament.
He proposed that VAT and customs duties to a value of $27.5 million should be lifted for imports of machinery and equipment that would be used in constructing the railway.
“The released funds should be spent on implementation of the project,” Najmiddinov said, the Tajik-based independent Asia-Plus news agency reported.
The 90-mile stretch of railroad linking the capital city with Qurghanteppa, located due south in Khatlon province, is estimated to cost $130 million.
The project launched in early 2009 envisages construction of 18 rail bridges and the tunnel.