18 November 2020

Avtodor State Company invited investors to joint development of Russian highways network

The portfolio of the State Company includes promising projects for the development of roads in the south of Russia, the construction of a highway from Moscow to Kazan, and subsequently to Yekaterinburg, which will be a continuation of the West-East transport corridor to Ural and will connect Volga and Ural federal districts.

Representatives of the State Company Avtodor discussed these projects at the Conference "Modern Trends in the Development of Transport Infrastructure and Investment Opportunities in the Road Industry" with invited investors, bankers, road building contractors. It should be reminded that the event was held on November 18 as part of Transport Week 2020.

The State Company Avtodor has been already implementing investment projects for infrastructure development with significant multiplier effects in related industries, which will become one of the drivers of economic growth (such as CRR, M-12 Moscow – Nizhny Novgorod – Kazan).

The State Company works with investors using all possible interaction formats as provided for in the legislation. In particular, these are concessions, long-term investment agreements, contractor agreements, placement of bonded loans the market participants are interested in.

A contribution of the State Company Avtodor to the development of the transport system in Russia was also discussed during the session. It was noted that the State Company solves the tasks of national projects in its industry and is a development institution in the road sector. As part of its projects, Avtodor ensures the connectivity of the territories, which makes it possible to achieve significant social and economic effects. The State Company uses both public and private funding, which makes it possible to reduce the project deadlines and increase their number without increasing the burden on the federal budget. It was also noted that Avtodor Group of Companies not only builds highways, but also operates them, including by means of extra-budgetary funding.

The State Company creates roads developing the necessary associated infrastructure.

Currently, Avtodor has 18 projects in the implementation phase with a total volume of 1 trillion rubles.

In turn, Vyacheslav Petushenko, the Chairman of the Board of the State Company Avtodor, said that "up to 500 billion rubles are to be attracted to the construction of highways by 2024".
"The portfolio of orders is very interesting. It is important to propose mechanisms for implementation of large infrastructure projects, so that they are not only launched, but also implemented until 2030,” the Head of the State Company Avtodor noted.