The European Investment Bank (EIB), the European Union's financing institution, announces a loan of ITL 150 billion (EUR 77 million)(1) to the Municipality of Naples for financing urban infrastructure schemes included in the city's regeneration plan. The loan agreement is the first operation to be arranged under the framework agreement concluded between the EIB and the Municipality in October 1999.
The framework agreement, the first signed by the EIB with a local authority in Italy, sets out the main aspects for direct cooperation in funding ventures promoted by the Municipality in the fields of urban regeneration, infrastructure and transport. Consideration will also be given to projects for reconverting former industrial areas and to financing the activities of smaller businesses in high tech sectors.
Schemes funded by the EIB under the operation concluded today - which broaden the range of Community measures financed under the URBAN programmes - are located in the old centre of the city (Porta Capuana and Porta Nolana), extend to the areas of Piazza Mercato and Piazza degli Orefici and will also benefit the historic centres on the outskirts of Naples (Spagnoli and Sanità districts).
On the infrastructure front, work will focus on systems designed to improve links between the city centre and peripheral areas such as San Martino and Sant'Elmo.
In line with the recommendations of the European Council meetings held in Amsterdam in June 1997 and Cologne in June 1999, the EIB has stepped up its financing in support of urban renewal. In 1999, loans totalling around EUR 2 billion benefited a number of major European cities, including Berlin, Stuttgart, Madrid, Valencia, Lisbon and, in Italy, Bologna and Venice.
The EIB was established in 1958 to finance projects geared to achieving the objectives of the European Union, particularly in the spheres of regional development, trans-European transport, telecommunications and energy networks, as well as the environment. Over the past five years (1995-1999), schemes aimed at improving living conditions in towns and cities have attracted EUR 10 billion, with the emphasis on developing urban transport (tram, bus and suburban rail lines, construction of tunnels and building of expressways on the outskirts of towns and cities). In 1999, the EIB provided aggregate financing of EUR 31.8 billion, of which EUR 4.053 billion in Italy.
(1) 1 EUR= 1936.27 ITL, 0.621700 GBP.