SARAJEVO (Bosnia and Herzegovina), March 25 (SeeNews) – The European Investment Bank (EIB) has announced that it is granting a 40 million euros ($ 47 million) loan to Bosnia to finance a reconstruction of the urban transport network of the capital Sarajevo.
The project involves the modernization and extension of the tram and trolleybus networks, replacing existing vehicles and building new tram lines and tracks, the EIB said in a statement Tuesday.
The establishment of a more efficient and reliable public transport system should allow a transfer of passengers from private modes of transport to public modes of transport. As a result, it will help reduce journey times, greenhouse gas emissions, noise levels and the number of traffic accidents in the Canton of Sarajevo.
âThe project will contribute to the achievement of the EU strategy for the Western Balkans and the EIB’s climate action targets for the region on sustainable transport,â the bank said.
In January, when the Bosnian government approved the draft loan agreement, it said the loan term was 25 years, including a five-year grace period.
The EIB has provided â¬ 1.6 billion so far to help build better roads in Bosnia.
($ = 0.847071 euros)