The construction of the fourth and final 96.5km phase of the Central Ring Road is estimated to cost RUR85.4bn ($1.51bn).
Under the agreement, the concessionaire will provide RUR49.7bn ($880m) and the remaining RUR35.7bn ($630m) will be procured from private investors.
The scope of the project includes the construction of 17 bridges and eco-gardens, 40 overpasses and nine flyovers. It also involves the construction of six interchanges of various levels.
RDIF CEO Kirill Dmitriev said: “The agreement on the fourth section of the Central Ring Road will enable the implementation of one of Russia’s most significant road and infrastructure projects.
“The project highlights how PPP mechanisms can generate investment interest in the sector. We have seen increased interest in transport infrastructure projects from our foreign partners and plan to increase the percentage of these investments in our portfolio.”
The fourth section of the Central Ring Road will start at the intersection with the M-7 Volga highway and will end at the intersection with the M-4 Don passing through the south-east area of the Moscow region.
In 2030, this section of road is predicted to support traffic movement of 40,300 vehicles a day.
AVTOBAN financial development deputy director general Denis Anisimov said: “Successful consortium formation is the next stage of the project implementation, designed for 30 years.
“The joint team work of the project participants will undoubtedly allow to solve all the challenges of the investment stage.”