The FINANCIAL — The European Investment Bank, promotes “green cities” in Greece through a pioneering loan of EUR 50 million to the Municipality of Heraklion in Crete.
The finance agreements have been signed on January 25 at EIB Headquarters in Luxembourg by Plutarchos Sakellaris, EIB vice-president and Yiannis Kourakis, Mayor of Heraklion.
According to EIB, the investments aim at promoting local development to improve the quality of life of residents and visitors and mainly concern public spaces, road safety measures, environmental protection, cultural heritage and buildings for municipal services. They are part of the Municipality’s "Green Heraklion 2008-2013" Urban Development Programme.
On this occasion, EIB Vice-President Plutarchos Sakellaris stated: “Friendly and efficient urban infrastructure is key to the development and prosperity of cities. This investment in Heraklion will improve the quality and attractiveness of the city. It will moreover sustain economic growth in particular through the further development of cultural tourism. “Green development” is a top European priority. With our financial means and expertise, as the largest multilateral financing institution in the world and with a physical presence in Greece, the Bank is making a tangible contribution to this priority sector”.
Mr Yiannis Kourakis commented: “EIB has always been a leading international partner of our country and supported our social and economic development in every means. The extension of a hefty amount of loans to finance now “green cities” makes the EIB contribution even more tangible to the Greek citizens throughout the country. I would like to express my satisfaction that Heraklion is pioneering this route forward for better quality of life, and take this opportunity to thank EIB for its fruitful cooperation. I strongly believe that this co-operation will further improve with new projects in the coming years”.
The project includes small to large sized schemes, primarily in the fields of urban renewal and rehabilitation of municipal infrastructure and community facilities, but also embracing, where appropriate, projects in environmental protection and energy savings. It comprises also the city’s new Cultural and Conference Centre of Heraklion. The Centre will host all the conference, cultural, educational, leisure activities in Heraklion, which with 140 000 inhabitants is the largest city of Crete and its administrative and economic centre.
The EIB loan will allow the Municipality to fund its investments at a cost that is lower than its traditional funding sources whilst the long term nature of the loan will enable it to spread the budgetary impact over a longer period. In Greece, local authorities are expected to assume an increased role in carrying out local infrastructure investments, favouring an increased prioritisation in investments. EIB participation in the financing of the investment programmes of local authorities in Greece can play therefore an important role in the future.
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