Montenegro OKs guarantee for 30 mln euro EBRD railway loan

The funds will be used for the purchase of up to three sets of 4-car electro-motor units (EMU) that ZPCG will use across the railway network of Montenegro, replacing the old, energy inefficient locomotive-hauled train sets currently in operation, the government said in a statement on Thursday.

The project is expected to be completed within three years after launch, helping ZPCG raise safety, and improve the quality of its service and accessibility, the statement read.

The 15-year EBRD loan will have a three-year grace period and will be repaid semi-annually. It will have a variable interest rate of six-month Euribor with a 1% margin, the government noted.

($ = 0.933 euro)