EIB lends EUR400 mln for upgrading Ukraine's municipal infrastructure

The European Investment Bank has allocated Ukraine a loan of EUR400 million to finance public infrastructure projects in Ukraine’s medium and large municipalities focused on protecting and rehabilitating of municipal infrastructure.

Vice Prime Minister - Minister of Regional Development, Construction, Housing and Utilities of Ukraine Hennadii Zubko and EIB Vice President Laszlo Baranyay have signed a corresponding financial agreement between Ukraine and the European Investment Bank to finance the Ukraine Municipal Infrastructure Programme project in the amount of EUR400 million.

The ceremony has been held at a board meeting of the Ministry of Regional Development, Construction, Housing and Utilities of Ukraine on the state of implementation of the Action plan of the Ukraine’s Government, Coalition Agreement, Strategy for Sustainable Development "Ukraine-2020".

"The European Investment Bank has provided Ukraine with unprecedented conditions of attracting cheapest and longest money ever, which is extremely important due to the limited budget possibilities. Thanks to the implementation of this Agreement we can change the quality of services for the population and to modernize the outdated municipal infrastructure," Hennadii Zubko said.

The official has noted that under the Agreement the final beneficiaries will be central, regional or local government agencies, public utilities and municipalities providing public services in Ukraine.

EIB Vice-President László Baranyay commented: “The current project is in line with the commitment of the EU Bank to support Ukraine and its people. Modern and reliable municipal infrastructure will contribute to the increase of the quality of life of people living in Ukrainian cities. It will help to save energy, provide better and more economical services and help to protect environment.”