Türkiye invests in trade corridors to counter global fragmentation

Türkiye is actively investing in global trade routes, including the Development Road and the Middle Corridor, to counter rising international protectionism and economic fragmentation, Treasury and Finance Minister Mehmet Simsek said during his speech at the Rising Türkiye Summits organized by Kanal 7. The minister highlighted that the world faces unprecedented uncertainty, polarization, conflicts, and tensions. He noted that the US-Israel-Iran war has brought temporary macroeconomic effects, while markets are now discussing expectations of rising global inflation, tightening financial conditions, and a loss of growth momentum.

Development Road and Middle Corridor

Simsek explained that the Development Road is a major connectivity project comprising approximately 1,200-1,250 kilometers of railway line, a highway, and an energy corridor stretching from Basra to Türkiye. The United Arab Emirates, Qatar, and Iraq are all stakeholders in this initiative. The Middle Corridor, another key route connecting Asia to Europe, passes through Anatolia. The third bridge in Istanbul was designed with a wide railway connection as the most important component of this $8.1 billion project. International financial institutions will provide 83% of the project’s funding. Simsek also recalled that Türkiye signed an agreement with the World Bank to strengthen the Middle Corridor.

Strategic importance for Türkiye

For Türkiye, which sits at the crossroads of Europe and Asia, investing in these corridors is a strategic hedge against global trade fragmentation. The Development Road project, in particular, aims to provide an alternative to maritime routes that may become disrupted during regional conflicts, such as the ongoing Iran war and tensions in the Red Sea. Ankara sees these land-based corridors as critical for energy security, export diversification, and regional economic integration.