The Ministry of Construction of the Government of Myanmar has published a Request for Expressions of Interest (RFEOI) for the Yangon Expressway project, seeking private parties interested in designing, engineering, financing, constructing, operating and maintaining a 47.5km expressway in Yangon, the largest city in the country, located on the south coast.
The elevated four-lane ring road expressway is expected to connect Downtown Yangon, Yangon Port, Yangon International Airport, Mingalardon Industrial Park and the Yangon-Mandalay Expressway. Construction will take two to three years.
It is the first greenfield road PPP project in Myanmar.
The Ministry intends to select a private partners through an international competitive tender, expected to commence later this year. The Ministry has disclosed that the structure of the project is not fixed — it may be tendered in sections.
In January, the International Finance Corporation (IFC), a member of the World Bank Group, signed an advisory services agreement to support the Myanmar government in tendering and implementing the project. The corporation aims to award the contract in early 2019.
The IFC has estimated that the total investment required is between US$350 million and US$400 million.
The deadline to submit expressions of interest is 29 June 2018. For more information, see the Business Opportunity.
This RFEOI follows a number of developments increasing the prevalence of PPPs in Myanmar. In February this year, two PPP contracts were awarded.
Myanmar Railways selected a consortium containing Oxley Holdings, Min Dharma Company and Sino Great Wall Company to upgrade Yangon Central Railway Station, which was built in the early 1950s, to a new central transportation hub on a build, operate, transfer (BOT) basis. Also, First Myanmar Investment Company and JCDecaux were awarded a BOT contract to develop 500 bus stops in Yangon.