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Sukkur-Hyderabad Motorway: Rs 191b Bid Approved

The board of the Public-Private Partnership Authority (P3A) has accepted the bid documents for the Sukkur-Hyderabad Motorway project, a milestone undertaking.

Read: SC Wants Allotment of 32 Plots on Parkland in Karachi Cancelled

According to a statement made on Friday, the cost of the Public-Private Partnership (PPP) project would be roughly Rs191 billion ($1.23 billion).

Following financial close, the project is anticipated to be finished in 30 months. The duration of the project’s concession tenure is 25 years.

The private sector will be granted tolling and other ancillary development rights in order to cover the project’s life-cycle costs and generate an appropriate rate of return on investment.

Read: 199 Development Projects Underway in South Balochistan

The Government of Pakistan (GoP) is supporting the project’s financial viability and bankability through the provision of capital and operational Viability Gap Funding (VGF) by committing to provide a maximum of Rs43 billion during the construction period and operational VGF payments spread over the first seven operational years.

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