17:18 - 18.06.2025

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June 18, Fineko/abc.az. As part of the Digital Silk Road initiative, the construction of a fiber-optic communication line (FOCL) across the Caspian Sea is a critically important infrastructure project that meets the goals of economic modernization and digital transformation of both Azerbaijan and Kazakhstan.

ABC.AZ informs that this is stated in an analytical report on the prospects for deepening economic cooperation between Kazakhstan and Azerbaijan, prepared by the Astana International Financial Center and the Institute of Development and Diplomacy of ADA University.

"Given the growing demand for secure and high-speed data transmission, the project represents a strategic investment aimed at diversifying telecommunications routes, ensuring network redundancy and resilience, reducing delays, and increasing capacity to support the digital economies of Kazakhstan and Azerbaijan," the report says.

It is noted that the implementation of the project will position both countries as regional digital hubs, creating conditions for the expansion of industries such as fintech, cloud computing and artificial intelligence.

"The Alat Free Economic Zone, located in the immediate vicinity of the Baku International Sea Trade Port, as well as the free economic zones of Kazakhstan can play a special role in the project," the article says.

It was previously announced that the construction of FOCL will begin this year. The length of the cable will be 380 km, and its capacity will be up to 400 terabits per second. The total investment in the project, according to preliminary estimates, will exceed $50 million.

The importance of ensuring the timely implementation of the project is emphasized, given that it has already been postponed few-fold before.

"The successful completion of the FOCL will have a multiplier effect on the economic growth of both countries and enhance the productivity of other joint initiatives," the report says.