The European Bank for Reconstruction and Development (EBRD) is supporting the development of greener public transport in Georgia. A sovereign loan of up to €50.6 million will finance the rehabilitation and upgrade of up to 12 metro stations in Tbilisi. The financial package includes an investment grant of up to €5 million from the Green Climate Fund (GCF).
With a population of 1.2 million, Tbilisi was one of the first cities to join the EBRD’s flagship Green Cities programme, which supports members in addressing their environmental challenges through sustainable investments and policy measures. The city was also one of the first to develop a Green City Action Plan (GCAP). Tbilisi has already made significant progress thanks to its efforts, including the bus fleet renewal and network restructuring.
The new loan builds on this broader effort, part of which seeks to encourage people to shift from private to public transport. The city’s transport system is set to benefit from the improved reliability, efficiency and climate resilience of its metro stations. Better lighting and ventilation, and greater energy efficiency of escalators, will improve the daily commute of Tbilisians, while an overhaul of the drainage systems is set to make the network more climate resilient.
Infrastructural improvements, coupled with the new asset management plan, to be financed as part of the project, are set to boost the Tbilisi Transport Company’s non-fare revenues, while improving service by reducing the overall downtime required for critical maintenance.
The EBRD has invested €5 billion in Georgia to date through 283 projects, with more than 80 per cent of those in the private sector. The Bank’s key areas of investment in the country include the financial sector, sustainable infrastructure, manufacturing and services, and small and medium-sized enterprises.
The EBRD is a multilateral bank that promotes the development of the private sector and entrepreneurial initiative in 36 economies across three continents. The Bank is owned by 71 countries as well as the EU and the EIB. EBRD investments are aimed at making the economies in its regions competitive, inclusive, well-governed, green, resilient and integrated. Follow us on the web, Facebook, LinkedIn, Instagram, Twitter and YouTube.
Mark Bowman, Vice President for Policy and Partnerships at the EBRD visited BMG for a sit-down interview with Georgi Isakadze which focused on this important decision and also, some other broader development issues.
