EIB loan of €450m finances road upgrades in Ukraine
The European Investment Bank has agreed to provide a loan of €450 million to finance new road construction and road network rehabilitation along the most important highway connections in Ukraine.
The project consists of two parts:
The first is the construction of a new 23km-long northern motorway bypass in Lviv. The bypass will connect Lviv with the Kyiv–Chop international highway and the Lviv–Lutsk national road. It will provide a link with the Lviv–Rava Ruska, Lviv-Krakovets and Lviv–Shegyni international highways on the route from Ukraine to Poland and further to Western Europe.
The project will also upgrade the existing 314km section of the M05 highway along the Kyiv-Odessa line, in the Cherkassy, Kirovohrad, Mykolaiv and Odessa regions.
The borrower of the EIB loan is Ukraine, while the project promoter is the State road agency Ukravtodor. The project will be co-financed by the European Investment Bank and the European Bank for Reconstruction and Development. Construction works will start in 2020 and the project is envisaged to be completed by 2025.
