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EU pumps another $1bn into Greek infrastructure as economy unfreezes

23 September 2014 | By Joe Quirke | 0 Comments

The European Investment Bank (EIB) is to seek to strengthen the Greek economy with a $1bn loan, to be spent on public infrastructure. The money is intended to underpin the recovery in Greece’s economy, which is expected to return to growth this year.  

Some $387m will go towards the construction of 239km of new motorway and smaller upgrades on 434km of existing highways. Another $258m will be earmarked for the Thessaloniki metro system, which is currently under development. 

Funding of $232m will also be made available for upgrades to the country's electricity network and $174m for improved electricity transmission for the Cyclades islands. 

Werner Hoyer, the president of the EIB, said: “With this strong shot we continue our support for growth and jobs in Greece. We concentrate on key sectors and help the Greek State to proceed with the construction of the country’s major motorways and the Thessaloniki metro to improve the citizens’ living and economic conditions.  

“We also contribute to realise the electricity interconnection of the Cyclades islands, a long awaited project in Greece. This investment boosts tourism, by putting an end to the blackout risks of the past.”