Korea Expressway Corporation Signs Financial Agreement for Kazakhstan Ring Road Project

On the 12th, after signing a financial agreement related to the construction project of the outer ring road in Nur-Sultan, Kazakhstan, the attendees are taking a commemorative photo. (Photo by Korea Expressway Corporation)

[Asia Economy Reporter Moon Jiwon] Korea Expressway Corporation announced on the 13th that it has signed a financial agreement related to the construction of an outer ring road in Almaty, the economic hub of Kazakhstan.

This project is a public-private partnership (PPP) awarded to a consortium consisting of Korea Expressway Corporation, SK Engineering & Construction, and two Turkish construction companies. The financial agreement includes the European Bank for Reconstruction and Development (EBRD), the Islamic Development Bank (IsDB), and the Eurasian Development Bank (EDB) as lenders. The lenders refer to the financial institutions providing the loans.

The project implementer, the 'Team Korea' consortium, raised approximately 700 billion KRW in project financing (PF). Going forward, SK Engineering & Construction will lead the road construction sector, while Korea Expressway Corporation will oversee operation and maintenance.

The Almaty ring road project is part of the government's New Northern Policy. The project began in earnest after President Moon Jae-in and Kazakh President Kassym-Jomart Tokayev discussed the commencement of this project during their summit in April last year. The financing is expected to accelerate the project's progress.

A representative from Korea Expressway Corporation stated, "The Almaty ring road holds great significance as the first large-scale public-private partnership project in Central Asia," adding, "We will continue to support the overseas expansion of domestic private companies and actively back the government's policy to revitalize overseas construction."

This content was produced with the assistance of AI translation services.