The loan is issued within the multitranche financing facility "Central Asia Regional Economic Cooperation Corridor 2 Road Investment Program", which was approved by the ADB in April 2010.

The program comprises of three projects. The objectives are to reconstruct over 220 kilometers of the Guzar-Bukhara-Nukus-Beinau (A380) highway, and to provide training support for improved planning, project management, road asset management, and community facilities.

The second tranche has been issued for 25 years, including five year grace period. The funds will be used to reconstruct 85-km part of A380 highway (from 355 km to 440 km).

The Government of Uzbekistan announced the tender on reconstruction of A380 highway within the second tranche in February 2011. Tender results will be announced in May 2011.

The ADB allocated US$115 million within the first tranche in May 2010. The first tranche is used to reconstruct 50-km part of Guzar-Bukhara-Nukus-Beinau highway (from 440 km to 490 km). GP Papenburg Baugesellschaft mbH won the tender to reconstruct this part of road.

The A380 highway forms part of the Central Asia Regional Economic Cooperation Program (CAREC) and one of its corridors – Corridor 2. This connects Uzbekistan to Afghanistan, Kazakhstan, the Kyrgyz Republic, Tajikistan, and Turkmenistan.

Upgrading the highway into a four-lane international design-standard road, rehabilitating other sections, and improving road planning and management will shorten travel time, reduce transport costs, improve safety, and support growth and poverty reduction.

Another ADB-assisted road project being processed in Kazakhstan will connect this country with the A380 in Uzbekistan. Once the two highways are completed, they will allow Uzbekistan and other Central Asian countries direct access to the Caspian Sea via Aktau, and eventually the Black Sea, via corridors to be built in Azerbaijan and Georgia.