The city of Moscow is seeking to attract Korean investors and corporate partners in constructing and managing transportation hubs in a large-scale project aimed at solving the city’s longstanding traffic problem.
The Moscow city government is planning to build a network of 55 transportation hubs, dubbed the “Transportation Interchange Hub,” in partnership with the country’s largest transport carrier OJSC “RZD” (Open Joint Stock Co. “Russian Railways”).
Each TIH will house transportation infrastructure for railroads, metros, buses and taxis along with commercial facilities such as large shopping centers, cafes, restaurants and hotels. A special purpose company was set up to carry out the massive project, which is led by Abramov Sergei, head of the Directorate of Railroad Stations of OJSC Russian Railways.
“Moscow is pursuing the development of Transportation Interchange Hubs as its principal project with the ultimate goal to improve the quality of life of Moscow citizens,” said Sergei. “We are happy to be able to invite Korean companies and financial investors to join us in building this monumental facility in Moscow, the center of Russian economy and culture.”
The projects are estimated to be worth $10 billion, and the city of Moscow is keen to host Korean companies and investors, given that Korea is taking the lead in large-scale construction projects and Seoul city itself has made strides in streamlining its complex transportation system in the past few years.
Sohn Myoung-won, president of SAABAA International Limited, is in charge of exploring new business opportunities for Korean partners and financial investors in connection with the Russian project.
“I sincerely hope that government and corporations’ experiences of solving or improving the traffic problems in Seoul can find a place in Russia through this important TIH project,” Sohn said. “I hope through joint efforts between Russian and Korean companies that both government and private companies enjoy a win-win environment.”
The cooperation between the Korean partners and Russian Railways will be implemented through RZD-RV, a mandated subsidiary of the Russian transport giant for the interchange hub project. Sergei said Moscow was looking for long-term investors and was ready to give Korean companies a substantial ownership and operation right for TIH.
“We are interested in building a long-lasting partnership with Korean companies who are willing to invest in building TIHs,” he said.
TIH aims to provide a variety of goods and services across a wide range of industries such as urban planning, design and engineering, construction, financing, telecommunication and IT solutions.