You're reading: Poroshenko approves ratification of agreement with EIB on 200 million euro financing for urban transport

President of Ukraine Petro Poroshenko has signed the law on ratification of the financial agreement under the Urban Public Transport project between Ukraine and the European Investment Bank (EIB).

According to the presidential press service, the corresponding financial agreement was signed in accordance with presidential decree No. 272 dated Nov. 9.

“The purpose of the agreement is to raise 200 million euro of credit funds from the European Investment Bank under state guarantees, which will be used to improve the work of public transport in some cities of Ukraine [Ivano-Frankivsk, Bila Tserkva, Kyiv, Lutsk, Lviv, Kremenchuk, Odesa, Sumy, Ternopil, Kharkiv, Chernihiv],” the report states.

The document assumes the funds raised will be spent on the purchase of buses, trolleybuses, trams, subway cars, construction and reconstruction of trolleybus and tram lines, depots, the introduction of information systems, in particular the creation of an automated system of payment for travel.

The corresponding project will also receive co-financing under local guarantees from the European Bank for Reconstruction and Development for a total amount of up to 200 million euro.

The financial agreement between Ukraine and the EIB comes into force from the date of the entry into force of the law on its ratification.