: / In Kyrgyzstan / Economy

Kyrgyzstan Review, 10 years ago

[11.04.23] Building Construction Companies in Search of Foreign Partners

It is the first time that Kyrgyz Association of trans-energy communication systems "ASTEK - holding" won a major ADB tender to reconstruct some sectors of Almaty-Bishkek, Bishkek-Osh roads.
For a long time Kyrgyz construction companies havent had an opportunity to even participate in tenders, notes director of JSC "ASTEK - holding" Z.Momunov. After the collapse of the Soviet Union construction companies had been privatized and divided into small joint stocks. None of them had enough resources to uphold major construction projects. Instead they were subcontracting for the foreigners.
In 2001 about 30 construction companies of the country joined in a holding. Pooling resources together has paved them the road into the construction market of the republic.
The holding had to meet a number of participation requirement for the tender: involvement in at least two major construction projects, minimum turnover of 30 mln dollars for the last three years, etc.
The yearly turnover of "ASTEK- holding" is about 30-40 mln dollars a year now, but it's its potential is 10-20 time greater.
Company management believes that there are a lot of opportunities now in the market of Central Asia: construction works are underway in Kazakhstan and Kyrgyzstan, reconstruction of post-war Afghanistan. By 2010 various international financial organizations are intending to invest 1 bln dollars into construction works in the region.
To expand into the region market, Z.Momunov points out, the holding needs a partner company from Russia or Kazakhstan. "In the long run, we will find one. We have always kept in touch with our CIS colleges. We speak the same language, exchange technology, supply materials for each other. Its only a matter of time"
"Rossiskaya Gazeta", April 11, 2003

More on the issue: