The European Bank for Reconstruction and Development (EBRD) is investing 13 million euros to complete a programme on the refurbishing of the streets and tramway lines in Arad (western Romania) and 7.3 million euros to help the city hall of Brasov (central Romania) to finalise the programme for the modernisation of streets, the institution said in a release.
The loans are part of the EBRD strategy to back the investments as a response to the global economic crisis and they ensure funding for important projects for the development of infrastructure, given that there is no alternative commercial financing.
The credit offered the Arad mayoralty adds to the syndicated loan of 20 million euros that the EBRD extended in 2005 to finance the refurbishment of the city’s streets and tramway lines.
The credit for Brasov adds to a syndicated loan worth 15 million euros that the EBRD extended in 2005 for the rehabilitation of streets and the improvement of the public transport in the city.
The programme targets the refurbishment of 23 streets in Brasov, of which 18 have already been upgraded.
This additional loan will allow the City Hall to complete the programme started in 2005, the release said.