13:23 06.05.2016

EBRD will issue loan to Chernivtsi to buy 40 trolleybuses, upgrade network

2 min read
EBRD will issue loan to Chernivtsi to buy 40 trolleybuses, upgrade network

The European Bank for Reconstruction and Development (EBRD) will issue a loan to Chernivtsi to implement an investment project to improve the urban public transport infrastructure through purchase of 40 new trolleybuses, related equipment and modernization of traction substations and contact networks.

According to Chernivtsi City Council, an agreement of intent on preparing loan financing for the project was signed on May 5 by Chernivtsi Mayor Oleksiy Kaspruk, Director of Chernivtsi Trolleybus Department Ivan Ivanichek and EBRD Senior Banker Denis Gaiovy.

According to Gaiovy, preparation for credit financing, during which the exact amount of a loan and its conditions will be determined, will last for several months.

"Today we are looking forward to the amount of EUR10 million. We expect the loan to be granted for 13 years with a possible three-year grace period, but this must be confirmed by the bank board of directors and the decision of Chernivtsi City Council," he said.

As reported, in August 2015 it became known that the EBRD is mulling the issue of EUR100 million to several Ukrainian cities to improve public transport infrastructure with a focus on renovating and improving the efficiency of transport - Odesa, Chernihiv, Chernivtsi and some other cities of the country under municipal guarantees.

AD
AD
AD
AD
AD