Minister Arslan is working on the finance model in Kanal Istanbul Project

Minister Arslan, We are working on the finance model in the Canal Istanbul Project: Minister of Transport, Maritime Affairs and Communications Ahmet Arslan said, “We are also working on the finance model in the Kanal Istanbul Project, which will be one of the biggest projects of our country in the near future. We work with the parties, stakeholders of this business on behalf of the public. ” said.

Armstrong, in his speech at the Atlantic Council Summit 2017 in Istanbul, Turkey is a bridge between Asia and Europe, he said they had implemented projects in all modes of transport to the right of this feature.

So far, the projects to add new voicing Arslan, Turkey from 3-4 hour flight from the number of people reached 1,5 billion is reported that create their gross domestic product of $ 31 trillion.

Arslan noted that they have implemented all the projects to get a share of this figure and said, “The cost of our investment in transportation in the last 14 years is approximately 100 billion dollars. 320 billion TL in Turkish currency. ” he spoke.

Noting that it is possible to do all these as public resources, Arslan said that they also want to realize the dynamics of the private sector, and that they aim to accelerate the return of the value added of the projects with the private sector even faster.

“$ 10 billion investment with private sector cooperation”

Arslan stated that they have signed very successful projects with private sector-public cooperation, and so far they invested over 10 billion dollars and with the private sector cooperation of 39 billion pounds. Now, the cost of the ongoing projects is about 10 billion dollars.

Istanbul New Airport already in cooperation with the private sector and with an investment of over 10 billion euros voiced Arslan, 25 25 annual operating period will generate a revenue close to $ 1 billion.

Especially in the south of the northern corridor or the Caspian Sea through Russia to Europe from China that said the southern corridor to transport and Armstrong explained that this move of the take 45-60 days, the central corridor leading out of Turkey for it not only for the countries to Asia and Europe too He emphasized that it is important.

Armstrong, Yavuz Sultan Selim Bridge and referring to the Eurasia Tunnel as implementation of many important projects, Çanakkale 1915 Bridge of the well will be opened in 2023, and in Turkey, said both would serve the entire world transportation.

These projects have been implemented in order to complete the middle corridor, Arslan said, adding that the Baku-Tbilisi-Kars railway would also contribute to the middle corridor.

“We are working on the financial model of Kanal Istanbul”

Arslan, not only in the field of transportation, but also in the construction-rent method is applied successfully stating, public-private cooperation, for example, the city hospitals, he said.

Starting from the aviation sector, they are very successful implementers of the public-private cooperation model in the country and voiced their interest in other sectors.

Arslan said, “We are also working on the finance model in Kanal Istanbul Project, which will be one of the biggest projects of our country in the near future. We work with the parties, stakeholders of this business on behalf of the public. We are also carrying out a process in order to develop a different financial model there and to implement a project of this magnitude. ”He said.

“At the end of the operation, the projects will remain in the state”

Arslan stated that they have confidence in the projects they have done and that they have guarantees for their trust and added:

“While these guarantees seem to be a public burden at the beginning, when you reveal the trust in the project, you reduce the cost of financing and reduce the risks. If a risk occurs at the end of the possible day, you are welcomed as public. If it does not happen, you are not giving money in vain. We provide this especially with the debt undertaking agreement.

Its purpose is this; if there is a possible risk, it is not to pay the risk in advance, but to pay if the risk occurs. If we do not reach the enough number, we give the difference. Thus, we relieve the hand of the creditor and the investor. More importantly, we provide it as a public to achieve our own goals. We know that at the end of the operating period, this project will be public and the public will receive additional income from it. ”

Arslan, public opinion, "Why do you give these guarantees and pay money from the guarantee?" Stating that many questions are asked, “First, we trust our project, second, we share the risk. By doing these projects, we ensure the growth of trade, economy, industry and industry in the surrounding geography. We provide more added value to our country. ” said.

Ize Every project we provide provides added value to our country “

When answering the questions of journalists at the end of the program, Arslan said that it is an approach that “guarantees from bridge crossings and the crossings do not meet the guarantee, the country is hurt”, which means that they do not understand the spirit of build-operate-transfer.

Arslan said, “Our aim is to cooperate publicly and privately; The first one is by putting the private sector dynamics into effect and completing the projects as soon as possible and providing both social benefits and creating added value to our country… Industry, industry develops, trade grows and additional added value is provided to our country. This is how we look at the event. Our feasibilities show that; this applies to all of our bridges and highways. Initially, the warranty number may not be captured, but these numbers will be captured over time. ” spoke in the form.

Arslan emphasized that they had to make an additional payment in the beginning of all their projects.

“We will continue to make this payment. However, all these projects are carried out by the private sector without paying any money and these projects are ours at the end of the day. Nobody will come and deposit 8-10 billion dollars and leave it free to you at the end of the day. Of course, we will collect a fee from the transition, we will give the difference, but all these projects will be ours at the end of the operational period. We will operate them and also generate income. This is in the spirit of build-operate-transfer. Please don't take this and compare it to other bridges. We will pay this money, but the number of passes will increase over time. Because these projects generate additional traffic around. The number of passes is increasing in Osmangazi and Yavuz Sultan Selim Bridges. We will earn income from the businesses of these projects at the end of the day. Please don't forget people. ”