India markets closed
  • BSE SENSEX

    52,586.84
    -66.23 (-0.13%)
     
  • Nifty 50

    15,763.05
    -15.40 (-0.10%)
     
  • USD/INR

    74.3370
    -0.1630 (-0.22%)
     
  • Dow

    34,935.47
    -149.06 (-0.42%)
     
  • Nasdaq

    14,672.68
    -105.59 (-0.71%)
     
  • BTC-INR

    3,094,537.75
    +208,118.25 (+7.21%)
     
  • CMC Crypto 200

    955.03
    +5.13 (+0.54%)
     
  • Hang Seng

    25,961.03
    -354.29 (-1.35%)
     
  • Nikkei

    27,283.59
    -498.83 (-1.80%)
     
  • EUR/INR

    88.2728
    +0.0141 (+0.02%)
     
  • GBP/INR

    103.3329
    -0.2571 (-0.25%)
     
  • AED/INR

    20.1940
    -0.0450 (-0.22%)
     
  • INR/JPY

    1.4721
    -0.0004 (-0.03%)
     
  • SGD/INR

    54.9030
    -0.0380 (-0.07%)
     

Hungary to place its motorway network in 35-year concession

·2-min read
FILE PHOTO: Vehicles are seen at the M1 highway

BUDAPEST (Reuters) - Hungary will overhaul the management of about 2,000 kilometres (1,240 miles) of its motorways and public roads, awarding a 35-year concession contract, according to a tender published on Monday in the official European Union gazette.

The Tenders Electronic Daily posting, which was first reported by local news web site 24.hu, says the concession entails the planning, renovation, construction, control, operation and financing of the network for an annual fee.

The winner of the contract would build and renovate hundreds of kilometres of motorways, including more than 100 bridges and other items.

According to a government statement, Budapest follows the example of other European countries and expects the deal to be budget neutral as toll revenues should be sufficient to finance the concession fees.

Infrastructure development has been rapid in Hungary in recent years under the government of Prime Minister Viktor Orban, and the premier has been criticised as many of his associates received hefty chunks of public tenders.

That includes his childhood friend Lorinc Meszaros, a former pipefitter who has become the country's richest individual with a net worth well in excess of 1 billion euros, according to several estimates.

Orban faces a tightly contested election for the first time since assuming power in 2010 as six opposition parties joined forces to unseat him.

The government also spun off the management of higher education and moved to sell government-owned real estate at a discount, prompting critics to accuse it of selling out state assets and trying to assure control beyond its term.

The government has denied those charges, saying it acted in the name of efficiency.

Meszaros has been a winner in the construction of a railway expansion on the Belgrade-Budapest line, a Chinese-led and financed project that is part of the "One Belt One Road" initiative to ease China's access to European markets.

(Reporting by Marton Dunai; Editing by Steve Orlofsky)

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting