Govt approves 3.2 bln euros of loans to improve infrastructure

TIRANA, July 14 – Government approved on Wednesday a record 3.2 billion euros of loans from international financial institutions to finance road infrastructure projects.
Speaking at a government meeting, Prime Minister Berisha said the 3.2 billion euro financing would completely transform Albania’s road, water and energy infrastructure.
Berisha said the European Investment Bank (EIB) and the Islamic Development Bank (IDB) would finance the Tirana-Elbasan highway, a hub to southern Albania and one of the main segments of the Corridor 8 project.
IDB, the OPEC Fund and the EBRD have also committed to finance the rural roads project. The Japanese government is also expected to provide 100 million dollars in soft loans for the secondary and rural roads project, according to government.
The German Development Bank, KfW, has also committed to construct the Tirana-Prishtina interconnection line. KfW has made available 50 million euros in water supply systems and some 40 million euros in providing an additional turbine to increase production capacity in the Vau i Dejes hydropower plant.
According to Berisha, the Black Sea Bank will finance the Arbri road expected to cut distance with Macedonia. The southern road axis will be financed by the Gulf Funds.
The Prime Minister announced that he had requested EBRD officials to consider financing a railway line connection between Tirana and Kosovo capital, Prishtina.
He described the loans as a sign of confidence international financial institutions have in the Albanian economy.