By Sara Israfilbayova
The European Bank for Reconstruction and Development (EBRD) has allocated a loan to an Azerbaijani private company.
The loan in the amount of six million euros in manat equivalent was allocated to the largest private passenger bus operator in Baku Khaliq Faiqoglu LLC, which is currently providing over 20 percent of bus services in the capital, for the purchase of 35 new buses.
The EBRD reported that the investment will support the process of transforming Khaliq Faiqoglu into a modern urban transport operator.
“The loan will finance the procurement of 35 new low-floor diesel buses which will be fully compliant with the EU Euro 6 emission standard for light passenger and commercial vehicles,” said the message. “They will replace old buses and reduce the company’s annual CO2 emissions by 2,853 tons.”
The EBRD is an international financial institution founded in 1991. As a multilateral developmental investment bank, the EBRD uses investment as a tool to build market economies.
The Bank was established to support countries of the former Eastern Bloc in the process of establishing their private sectors. To that end, it offers "project financing" for banks, industries and businesses, for new ventures or existing companies.
The EBRD has allocated more than €3 billion to Azerbaijan for implementation of 165 projects since 1992.
One of the main priorities of the EBRD in Azerbaijan for 2017 is support the local corporate with direct financing. The EBRD continues to pursue investments in energy projects, especially where there is a gap to improve efficiency and energy security.
Sara Israfilbayova is AzerNews’ staff journalist, follow her on Twitter: @Sara_999Is
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