Recent EBRD experience with concessions related projects

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Recent EBRD experience with concessions related
projects
Riccardo Puliti, Director Transport Paris, 25
April 2005
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Recent EBRD experience with concessions related
projects

• AGENDA
• The status of concession financing in our
  countries of operations recent trends
• Case studies
• M5/M6 in Hungary
• The Mother Teresa airport in Tirana

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Recent Trends

• Concessions spring up here and there without a
  national policy like PFI in the UK
• Concessions are not developed quickly
• Lack of understanding
• Development costs
• Bad examples in the past
• EU grant funding

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Recent Trends

• Money is available to both debt and equity
  investments strong liquidity
• New EU countries with strong capabilities to
  organise concessionary structure will attract
  quality operators
• Budapest airport
• Bratislava airport
• Motorways

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Case Study M5/M6 Motorway in Hungary

• The need for institution building in PPP
  structuring
• The role of the Bank as honest broker when the
  going gets tough..
• The happy end with a little bit of imagination
  and the goodwill of everybody

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Case Study The Mother Teresa airport in
Tirana

• Where theres a will theres a runway
  background information
• The tender process
• The role of experts
• The conduction of the tender and the negotiations
• The financing
• A complex financing structure
• Commercial bank appetite
• A function of liquidity or the sign of a good
  project?
• Acknowledgement

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• Riccardo Puliti
• Director, Transport
• EBRD
• One Exchange Square
• London EC2A 2JN
• Tel [phone]
• Fax [phone]
• Cell 07802 510 666
• E-mail pulitir_at_ebrd.com