Deputy MP Luksic signs EUR 16, 5 million worth agreement with EIB

Deputy Prime Minister and Minister of Finance Igor Luksic signed on Monday the agreement for the second tranche of the European Investment Bank (EIB) loan for the water and wastewater operation in Montenegro with EIB representative Marion Hoenicke. As the EIB loan is intended for environmental protection, the terms are very favourable, allowing for a six-year grace period and 25 years for loan return, says the Deputy PM.

The tranche is worth EUR 16, 5 million and Deputy PM Luksic announced they would mostly be used for infrastructure reconstruction in smaller Municipalities in central and northern Montenegro. He said that these projects will be of great importance for the development of Montenegro’s economy as they will contribute to sustainability and higher value of the resources in those areas.

Deputy PM Luksic welcomed the EIB decision for prompt assistance in flood relief and mending of the damage caused, and he announced the possible usage of EIB funds in preventing similar outcomes in the future. He underlined that the Government has amended the Budget to provide for the EIB loan for flood damage repair.

Ms Hoenicke of the EIB expressed satisfaction with the ongoing cooperation with the Government and the signing of this agreement. She added that she was honoured that in times of need for urgent action the Government has put its trust in EIB, who will not disappoint the people in need and the Government. She concluded by expressing regret that more and more floods are occurring daily worldwide, adding optimism that EIB has become more capable to react to them.