The European Investment Bank (EIB) is lending CZK 800 million (approx EUR 33 million) to finance the upgrading of regional infrastructure in the Zlín Region (eastern part of the Czech Republic).
The EIB loan will help to facilitate and accelerate the implementation of the priority schemes identified under the Czech National Strategic Reference Framework for the period 2007- 2013. The EIB funds will mostly co-finance with EU grants smaller investment schemes designed to improve the quality and safety of the local road network and upgrade the infrastructure relating to education, social and health care, culture and tourism.
The current loan represents a continuation of the successful cooperation with the Zlín Region. In 2005 the Bank provide a first loan of CZK 1 500 million focusing in particular on rehabilitation of the regional road network. A second finance contract worth CZK 500 million was signed in 2008 to support further development and improvement of regional infrastructure. The implementation of the sub-projects supported by these two previous loans is progressing well and on schedule. The loans have efficiently paved the way for extending the scope of the EIB’s involvement in the region, based particularly on the added value it can bring in financial terms as well as by providing much needed long-term resources essential for the timely completion of the Region’s plans and objectives.
Background:
The EIB, the European Union’s bank, finances economically viable investment projects that contribute towards the integration, balanced development and economic and social cohesion of the EU Member States.
The EIB supports the development of Czech regions and municipalities by improving their access to long-term finance provided on favourable terms. Since 2005, the Bank has provided loans to seven Czech Regions and to six cities besides the capital city of Prague, amounting to some EUR 1.1 billion, including the current loan.