October 16, 2015 - 17:59 AMT
PanARMENIAN.Net - The European Investment Bank (EIB) is lending €8 million to finance the first phase of improvements to the solid waste disposal system in Yerevanand four surrounding regions, EIB said in a statement.
The project concerns the construction of a sanitary landfill, closure of the existing landfill and the implementation of waste diversion measures in the capital of Armenia and surrounding regions, serving a population of 1.9 million.
EIB Vice-President László Baranyay, responsible for the Bank’s financing operations in Armenia, stated: “This is the first EIB loan supporting solid waste management in the Eastern Partnership region. It concerns key social infrastructure, highly relevant for the quality of life and health conditions of almost two million people. This project is an example of excellent cooperation between the EIB, regional players, the European Commission and partner IFIs.”
The project is co-financed by a €8 million European Bank for Reconstruction and Development (EBRD) loan with a €1.9 million technical assistance grant, and a €8 million grant from the EU Neighborhood Investment Facility (NIF). The EIB is expected to provide €17 million in total to support the project, the €8 million loan representing only the support for the first phase of the project.
H.E. Piotr Antoni Switalski, Ambassador, head of the European Union Delegation to the Republic of Armenia, said: "The European Union is committed to supporting initiatives that ensure improved solid waste management in Armenia and in the region. This is our third financial grant to the Armenian Government in this field. I am delighted that following regional initiatives in Kotayk and Vanadzor, we are now providing financial assistance to ensure improved living conditions for the citizens of Yerevan.”
To date, the EIB has signed 11 loans in Armenia totaling €220 million. The portfolio is well diversified across transport, energy and water and waste treatment infrastructure as well as SME support.
The EIB – the European Union’s bank – finances projects in Armenia on the basis of an EU Council and European Parliament mandate for the countries of the Eastern Neighborhood. The 2014-2020 mandate enables the EIB to provide financing of up to €4.8 billion under an EU guarantee to support projects of significant interest to both the EU and its Eastern Neighbors in the areas of local private sector development, social and economic infrastructure and climate change. In addition, the Bank has set up a €3 billion own-risk Neighborhood Finance Facility to enhance its support for the Neighborhood Countries.