“One billion euro is the estimated cost for one third of this project. We intend to develop the project in public-private partnership, and the most interesting offer so far has come from Chinese investors, willing to offer 85 percent of the financial support for the project,” Oprescu told Business Standard yesterday. City Hall is also preparing to finalize the documentation for contracting several supply loans, worth a total of €550 million, to be used in road infrastructure rehabilitation projects.
“We are preparing to approve a few supply loans in the council, to preserve a financial portfolio for the coming year. This will ensure the continuity of work and new projects that remain to be completed, because we postponed many of these to next year,” Oprescu added. The mayor explained that the three loans will be worth €200 mln, €150 mln, and €200 mln, and will be used to modernize several underground passages and to rehabilitate some of Bucharest’s boulevards.
Part of the funds could be used for acquiring trams and buses, and to cover “Bucharest’s basic circulation needs.” The General Mayor did not reject the idea of contracting new loans for investments, considering that the €500 mln eurobond issue conducted by City Hall in 2005 is not putting much pressure on the annual budget. “City Hall’s degree of indebtedness is very low, 8.75. There is room up to 32 [E. n. – the maximum degree of indebtedness, according to law],” Oprescu indicated.
Loans
>City Hall is also preparing to finalize the documentation for contracting several supply loans, worth a total of €550 million, to be used in road infrastructure rehabilitation projects.
