RDIF invests in the reconstruction of M-4 Don highway in the Rostov – Krasnodar section
The Russian Direct Investment Fund (RDIF) is investing in a complex reconstruction of the federal M-4 Don highway in Russia, as part of its infrastructure partnership with Avtodor State Company.
The project involves complex installation work, reconstruction, maintenance, repair, structural repair and toll operation of the M-4 Don federal highway from Moscow through Voronezh, Rostov-on-Don, Krasnodar to Novorossiysk, at Section 4, Rostov - Krasnodar (section km 1091.6 - km 1319).
The company Road Investment Company LLC, created by RDIF and Avtodor to identify and implement road improvement projects in Russia, will act as the project operator. A number of RDIF’s international partners, including leading Middle Eastern funds, will be investing in the project alongside RDIF.
Under the operator agreement until 31 December 2030, the total cost of the project, including reconstruction and improvement work, will amount to around RUB7 billion.
Kirill Dmitriev, CEO of theRussian Direct Investment Fund (RDIF), says: "In collaboration with Avtodor we have been able to structure a project for the complex reconstruction of the 4th section of the M4 highway, and make this an attractive investment for our international partners. The experience in developing this PPP with the participation of foreign capital will be replicated across the country. This will significantly speed up the pace of road construction as well as improve the quality of Russian roads."
Sergey Kelbakh, Сhairman of the Avtodor State Company, says: "It’s extremely difficult to attract foreign investment into infrastructure projects in Russia given the current unstable macroeconomic situation. However, the impressive track record of the Russian Direct Investment Fund gives us every confidence that with their support the project will receive foreign investments.”