Banks, builders and Colombian government discuss motorway funding plans

Banks, builders, pension funds and Colombian government officers are discussing plans to finance around 40 new road concessions worth a combined US$23.86 billion (COP 47 trillion). According to market reports, the winners of these concessions will cover around 25% of their final cost. These funds will be paid in the first two years of each project and the winning firms will look to recoup their investment through road tolls. Banks will cover 30% of the cost via 12-18 year loans. The national development ban
January 22, 2014 Read time: 1 min
Banks, builders, pension funds and Colombian government officers are discussing plans to finance around 40 new road concessions worth a combined US$23.86 billion (COP 47 trillion). According to market reports, the winners of these concessions will cover around 25% of their final cost. These funds will be paid in the first two years of each project and the winning firms will look to recoup their investment through road tolls. Banks will cover 30% of the cost via 12-18 year loans. The national development bank FDN will cover 10% via 20-year loans. The International Finance Corporation and the Latin 4900 American Development Bank will cover 5% of the final cost. A total of 19 projects will go under the hammer in 2014.
Road Structures

For more information on companies in this article

Related Content

  • Funding sources being sought for Indian highways
    January 25, 2016
    India’s Ministry of Transport and Highways is looking to source loans to help fund highway development. The Japan International Cooperation Agency (JICA) looks set to provide a partial source for the funding required. In all just over US$885 million will be needed to pay for India’s National Highway Development Project (NHDP). The Japan International Cooperation Agency (JICA) has approved a loan of just over $590 million for the Indian Government-run National Highways and Infrastructure Development Corp (NH
    Read More
  • Metro Pacific pushes for Cebu-Mactan bridge in the Philippines
    January 19, 2015
    Metro Pacific Investments Corp (MPIC) is in discussions to form a joint venture for construction of a toll bridge connecting the islands of Mactan and Cebu in the Philippines. Cebu is an island province that incorporates 167 surrounding islands and islets, one of them being Mactan, which lies immediately off Cebu Island, across from Cebu City. MPIC’s subsidiary, Metro Pacific Tollways Development Corp (MPTDC), is proposing an 8.3km bridge costing around US$380 million, according to local media reports
    Read More
  • Indonesia’s Trans Marga Jateng secures key new toll road loan
    April 8, 2014
    A US$415.45 million (IDR 4.7 trillion) loan has been agreed for a new 75.67km toll road as part of the Trans Java toll road project in Indonesia. Trans Marga Jateng, the 60:40 joint venture of Indonesian state-owned toll-road operator Jasa Marga and Central Java's state-owned infrastructure firm Sarana Pembangunan Jawa Tengah, has secured the 15-year syndicated loan from a group of lenders headed by state-owned bank Bank Mandiri. The new toll road will run from Solo to Semarang through Salatiga and Boyola
    Read More
  • Funding issues for Georgia projects
    February 28, 2012
    Problems are appearing with regard to plans for transport funding set out by the Georgia Department of Transportation.
    Read More

Highlighted Content