The European Investment Bank (EIB) is looking at issuing a €40 million loan towards reconstruction of Lithuania's Vilnius-Utena A14 highway.
According to a notice by the EIB earlier this year, the project includes reconstruction of 58km highway, the main traffic artery between the capital and north-eastern regions of Lithuania. The government intends to procure the project as a public-private partnership under a 13-year concession contract, including a 3-year construction period.
The bank noted that the concession is expected to include the operation and maintenance of up to 72km of roads.
According to a report by the Lithuanian online news outlet L24.lt, just over €61 million of the project’s total cost of €169 million would be for construction.
The existing highway was built over 80 years ago and is one of the worst maintained roads in the country, according to report by law firm BNT, based in Vilnius. “Reconstruction of the highway is imminent as Vilnius continues to expand in the direction of Utena and car traffic increases,” the firm noted.
Lithuanian parliament has budgeted €170 million, of which €60 million is for construction and €10 million for maintenance, the BNT report said.
This year EIB and the Municipality of Vilnius signed the first €25 million tranche of a €50 million loan facility to help finance urban infrastructure renewal including cycle paths and construction of the Western bypass.
According to a notice by the EIB earlier this year, the project includes reconstruction of 58km highway, the main traffic artery between the capital and north-eastern regions of Lithuania. The government intends to procure the project as a public-private partnership under a 13-year concession contract, including a 3-year construction period.
The bank noted that the concession is expected to include the operation and maintenance of up to 72km of roads.
According to a report by the Lithuanian online news outlet L24.lt, just over €61 million of the project’s total cost of €169 million would be for construction.
The existing highway was built over 80 years ago and is one of the worst maintained roads in the country, according to report by law firm BNT, based in Vilnius. “Reconstruction of the highway is imminent as Vilnius continues to expand in the direction of Utena and car traffic increases,” the firm noted.
Lithuanian parliament has budgeted €170 million, of which €60 million is for construction and €10 million for maintenance, the BNT report said.
This year EIB and the Municipality of Vilnius signed the first €25 million tranche of a €50 million loan facility to help finance urban infrastructure renewal including cycle paths and construction of the Western bypass.
