$150 million secured from for southeastern road segment

TIRANA, Feb. 18 – Preparations for the construction of the Qukes-Qafe Pllo襠road in southeastern Albania are already in their final stage after government has secured around USD 150 million in soft loans from Arab financial institutions.
Government secured this week USD 25 million from the Saudi Fund for Development which will help finance around 10 km of the road which is a continuation of the Tirane-Elbasan highway linking the capital to southeastern region of Kor衠and Macedonia.
The 25-year loan has an interest rate of 2 percent and a five-year grace period for the principal.
Government had earlier secured USD 125 million from the Islamic Development Bank for the construction of the segment which is part of Corridor VIII project linking Albania, Italy, Macedonia and Bulgaria.
“After the signing of the loan deal, the construction of the Qukes-Qafe Pllo襠segment is expected to start soon. This investment is a breath for the region but also for the whole of Albania because of connecting the Kor衠lowland with ports in neighboring country, the capital city and the Albanian market. We hope the project will finish within the scheduled deadline in the contract with the winner,” said deputy Prime Minister Niko Peleshi in the signing of the contract with officials of the Saudi Fund for Development.
The first 2.9 km segment of the 43.4 km road is already under construction with financing from the Albanian government. The two-lane road will also help agricultural development in the region of Korca and reduce pollution in the lake town of Pogradec because of avoiding circulation of high-tonnage vehicles.