April 13 (SeeNews) - The European Bank for Reconstruction and Development (EBRD) said it is extending a loan of 17 million euro ($18.4 million) to Bosnian capital Sarajevo to improve the transport system in and around the city.
Sarajevo will use part of the funding to install a new traffic management system for monitoring, analysing and improving traffic flow through a network of cameras and radar at city intersections, the EBRD said in a press release on Tuesday.
The Central European Initiative (CEI) Fund will finance the technical assistance associated with project preparation and implementation.
Furthermore, the EBRD loan will help Sarajevo renew its tram fleet. Five new trams will be added to the 15 vehicles whose purchase the EBRD already co-financed with the European Investment Bank in 2020, the EBRD said.
The projects are expected to alleviate traffic congestion in Sarajevo and improve air quality for its inhabitants.
The financing is part of the EBRD Green Cities Cantonal Action Plan for Sarajevo. Under the programme, the bank is also supporting the city in upgrading its water supply network and the energy efficiency of public buildings.
($ = 0.9231 euro)