IFC, a member of the World Bank Group, will advise the Infrastructure Corporation of Andhra Pradesh, (INCAP) on a coastal roads project to boost economic growth in the state. As part of this, IFC will help develop public-private partnerships for the project which would be a combination new and existing toll roads and connecting radial roads.
The Vizag-Kakinada project, located on the east coast of Andhra Pradesh, is one of the first to be undertaken by IFC since it was appointed as adviser to INCAP last year.
According to Sanjay Jaju, INCAP, vice chairman and MD, roads are an important component of the physical infrastructure needed for development and growth.
He said in a release that an efficient transportation system is the lifeline of an economy, and this important project will boost the state?s economic development.
Vipul Bhagat, who leads IFC?s Infrastructure Advisory in South Asia, said, ?We have extensive experience in advising governments on public-private partnerships in key infrastructure sectors, especially road transportation, airports, and ports. We are privileged to support the coastal roads project in Andhra Pradesh through this unique partnership with INCAP and the state government.?
The project is expected to include about 100 km of radial roads that connect a 150-km coastal road to National Highway 5. IFC will undertake a due diligence review, help design the financial model, and hold consultations with potential bidders.