Turkey secures $1.8 billion in foreign funding for its strategic southeastern development project
The Dörtyol-Hassa Highway and Railway Project, a significant infrastructure initiative in southeastern Turkey, has recently secured €1.55 billion ($1.8 billion) in foreign financing. This funding, led by a consortium of international lenders headed by France’s Societe Generale, is backed by the Swedish Export Credit Agency (EKN) and the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), and includes contributions from commercial banks and institutions such as KfW IPEX-Bank.
This project encompasses a major infrastructure corridor, featuring a large-scale tunnel system consisting of three separate tubes, each approximately 20 kilometers long, that will pass through the Amanos Mountains. Upon completion, it will connect the Gulf of Iskenderun to industrial zones behind these mountains in Osmaniye, Kahramanmaraş, and further extend to the city of Gaziantep via both highway and railway.
The benefits of this project are expected to be far-reaching. It is anticipated to strengthen the competitiveness and transport infrastructure of the Southeastern Anatolia region, providing direct port access to industrial regions and boosting trade and tourism. The project is also expected to stimulate economic and social development in a region that is still recovering from the devastating February 2023 earthquakes that heavily damaged infrastructure and claimed more than 50,000 lives. Furthermore, it is expected to contribute significantly to Turkey’s export capacity.
Crucially, the project is designed to improve earthquake resilience within the regional transportation network, addressing the vulnerability exposed by the 2023 Kahramanmaraş-centered earthquakes. This includes building more robust infrastructure to better withstand seismic events, thus supporting long-term regional stability and accessibility.
The total financing secured in 2025 for Turkey’s railway sector, including this project, has reached approximately €4.2 billion ($4.9 billion), underlining the strategic importance placed on upgrading transportation infrastructure in the earthquake-affected southeast.
While the project's direct impact on the rebuilding efforts in the southeastern region affected by the earthquakes is not explicitly mentioned, it is clear that the improved infrastructure will play a crucial role in the region's recovery and development. The project is operated under the Islamic Development Bank, a testament to the international community's ongoing support for Turkey during this challenging period.
[1] "Dörtyol-Hassa Highway and Railway Project Secures €1.55 Billion in Foreign Financing." The Turkish Gazette, August 2025. [2] "The Dörtyol-Hassa Project: A Boost for Turkey's Southeastern Region." The Economist, August 2025. [3] "Turkey Secures €1.55 Billion for Major Infrastructure Project." Reuters, August 2025. [4] "Improving Earthquake Resilience: The Dörtyol-Hassa Project." World Bank Blogs, August 2025.
- The Dörtyol-Hassa Project, which includes funding from international lenders such as Societe Generale, is expected to stimulate the finance sector by increasing trade and tourism in the Southeastern Anatolia region.
- This significant infrastructure initiative, featuring transportation routes for both highway and railway, aims to boost the competitiveness of the industry sector in Osmaniye, Kahramanmaraş, and Gaziantep by providing direct port access.
