The Brussels Government and the European Investment Bank (EIB) have reached a deal securing a €475 million loan to be repaid over 25 years, Belga News Agency reports.
The deal is a follow-up of a similar contract signed in 2022, and it aims to partially finance a new metro project.
Formal signatories include the EIB's Vice President Kris Peeters, Regional Finance Minister Sven Gatz, Mobility Minister Elke Van den Brandt and STIB Director-General Brieuc de Meeùs. Last year's contract allocated the same amount for the purchase of transport equipment and refurbishment of 63 km of existing STIB tracks.
Details of the loan have not been fully disclosed. However, Gatz believes that this financial operation will enhance the region's financial credibility in the private banking sector and diversify its financing sources. The EIB is heavily involved in the transport sector, Peeters said, with a particular focus on sustainability.
Gatz confirmed that he was satisfied with the EIB collaboration, calling it a "strong partnership".
Uitbouw metro = nodig voor Brusselaars én pendelaars.
👉wordt bevestigd door de Europese Investeringsbank met € 475 miljoen voor de uitbouw van een volwaardige metrolijn. 👉Vlotter verkeer in de stad kan door enkel goede alternatieven aan te bieden! https://t.co/5sSY19XDQq — Sven Gatz (@svengatz) December 21, 2023
Tweet translation: Metro extension = necessary for Brussels residents and commuters. This is confirmed by the European Investment Bank with €475 million for the expansion of a fully-fledged metro line. Faster traffic in the city can be achieved by offering only good alternatives!
Thus far, only financing for the Brussels North-Albert section of the metro has broad political support.
Moreover, Peeters indicated that the bank can fund up to 50% of a project's cost; in this case, it seems that the cost will be much lower. As for the metro transformation loan, the Brussels Mobility Minister highlighted good progress, especially in the construction of the central missing link of less than one kilometre including a metro station.
Lastly, Peeters revealed that the European debate is ongoing over whether to keep sustainable investments funded through the EIB outside the European budget consolidation perimeter. This topic is of great interest to countries such as Belgium with high levels of debt and obligatory climate targets.
