Myanmar makes progress on new Hanthawaddy airport
Myanmar’s Department of Civil Aviation says consortium companies that won the bid to build Hanthawaddy International Airport will sign the final agreement this December.
Global New Light of Myanmar reported the consortium is now moving towards a December date to close the deal and begin preliminary work.
DCA director, U Hla Bone Zaw, told local media that the department is still discussing financial terms with the consortium.
“We have to settle the final costs, value of Official Development Assistance loans and the duration of the contract,” he said.
Hanthawaddy International Airport will become the main international aviation gateway to Myanmar once it is operational.
It will be built on over 9,600 acres of land in Bago, 50 miles from Yangon on a site that was a World War 11 airfield for Japanese forces.
Consortiums, led by JGC Corporation from Japan, Singapore based Changi Airports International (CAI) and Yongnam Holdings Limited will build the airport.
The whole projects will be implemented with Official Development Assistance (ODA) fund loans from the Japanese government.
JGC Corporation and other companies conducted a feasibility study last June.
The first phase of the Hanthawaddy International Airport project will cost about USD1.5 billion and should be completed by 2022 with a capacity to handle 12 million travellers a year.
But once all phases are completed the airport will be able to handle 50 million passenger movements a year.
Myanmar welcomed over 4.6 million foreign visitors, last year, an increase of 52% compared with 2014. The ministry estimates that arrivals will increase to 5.5 million this year.
Airports count passenger traffic as the single transfer of a passenger through the airport inbound, outbound or in transit. Every tourist makes at least two airport transfers in and out of the country.
When the new airport opens in 2022, it is very likely that passenger traffic will have already passed the airport’s maximum capacity of 12 million passenger movements.
The ministry also estimates that international tourist arrivals in the country are likely to reach 7.5 million by 2019.