EPC contracts for Clark airport signed

The Bases Conversion and Development Authority (BCDA) and the Megawide-GMR consortium have concluded the engineering, procurement, and construction (EPC) contract to expand the Clark International Airport (CIA).

The International Finance Corporation (IFC), BCDA’s transaction advisor for the EPC contract to build CIA’s new passenger terminal, made the announcement last week.

The CIA is the second main gateway into the country and the new 100,000square meter terminal will double its capacity to eight million passengers per year, boosting air transport capacity for the Greater Capital Region.

The project is also expected to reduce the strain on the congested Ninoy Aquino International Airport (NAIA) and help create jobs and increase development to Central Luzon, a growing economic center.

“This builds on IFC’s long-standing track record in advising the government in delivering crucial infrastructure,” remarked Yuan Xu, IFC Country Manager for the Philippines. “Infrastructure is key to the sustainable and inclusive economic growth of the country.”

Over the past 25 years, IFC’s Public Private Partnership (PPP) Transaction Advisory team has supported governments in over 100 countries.

During this period, eight PPP projects have been successfully implemented with the support of the IFC as transaction advisor to the Philippine government.

The IFC is also supporting BCDA for the second transaction under the Clark Airport project to identify a private partner to operate and maintain the airport, including both the existing and new terminals.

Earlier, the IFC also assisted BCDA in conducting a competitive and transparent bid process that took less than six months, one of the fastest PPP project mandates, and resulted in significant government savings.

The IFC, a sister organization of the World Bank and member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets.

The organization worked with over 2,000 businesses worldwide, using its capital, expertise, and influence to create markets and opportunities in the toughest areas of the world.

Last year, IFC delivered $19.3 billion in long-term financing for developing countries, leveraging the power of the private sector to help end poverty and boost shared prosperity. (EVA)