November 1 (SeeNews) - The European Bank for Reconstruction and Development (EBRD) plans to extend a 100 million euro ($111.6 million) loan to Serbian state-owned passenger railway transport company Srbija Voz for the purchase of up to 18 new trains, the lender said.
Srbija Voz will buy new four-car coaches, which will provide comfortable and reliable regional passenger services on the electrified sections of the rail network and encourage more new passengers to shift their travel habits from road to rail services, leading to a reduction in greenhouse gas emissions, the EBRD said in a statement on Thursday.
"We are pleased to be one of the key partners of Srbija Voz in this great revitalisation process leading to more comfortable and safer travel for travellers in Serbia," Susan Goeransson, Head of Infrastructure, Europe, at EBRD, said.
So far the EBRD has extended over 1 billion euro to Serbia for investments in sustainable infrastructure. The EBRD is leading green transition financing in Serbia with investments in key transport and urban infrastructure, renewable energy and energy efficiency projects, the bank noted.
"This project will improve the organisation, quality and cost-effectiveness of passenger transport services in regional rail transport, and will enable safer and more comfortable rail transport for passengers," Jugoslav Jovic, Acting General Manager of Srbija Voz, said.
The EBRD has invested more than 5 billion euro across 250 projects in the country to date. The EBRD is supporting private-sector development and the transition towards a green economy, as well as investing in infrastructure to boost connectivity in the Western Balkans region.
($ = 0.8963euro)