EBRD considers lending up to EUR 65 million to Belgrade's public transport company

The European Bank for Reconstruction and Development (EBRD) said in a release on Monday (16 July 2012) that it was considering lending up to EUR 65 million to the City Public Transportation Company (GSP) Beograd for the procurement of 400 new buses.

According to the release at the EBRD's website (www.ebrd.com), the plan is to procure 280 low-floor articulated buses and 120 single buses powered by natural gas.

The value of this bus fleet renewable project is estimated at EUR 130.5 million, half of which should be contributed by the EBRD, whereas the rest will be provided from the budget of the City of Belgrade, GSP and other commercial loans.

Implementation of the project will enable the reduction of carbon-dioxide emission by 35,000 tonnes annually and make it possible for public transport in Belgrade to keep its share of 55% in the city transport despite a constant increase in the number of vehicles of private transportation companies.

The EBRD Board of Executives should take the approval of loan to GSP Beograd in consideration at its session on September 18th, it was announced on the website of this international creditor.

According to the data available at GSP's website (www.gsp.rs), this city public transportation company has 800 buses whose average age is 9.5 years. If we count trams and trolleybuses, GSP has a total of 1,142 vehicles whose average age is 11.5 years.