Pension Fund Could Finance Airport Tunnel

The project to build a connecting tunnel between the northern and southern terminals of Sheremetyevo Airport could be financed by the pension fund, a Moscow transportation official said.

Some 1.6 billion rubles has been allocated from budget funds for the project, while 7 billion to 11 billion rubles are needed, said Viktor Yeromin, deputy director of the Moscow transportation node. To complete the financing, different schemes are under consideration, including a public-private partnership, Vedomosti reported.

Since Sheremetyevo is already carrying more than $1 billion of debt, it is possible that the project could be realized by issuing infrastructure bonds with a 25- or 30-year maturity period that could be purchased using pension funds, Yeromin said.

(MT)