The Nordic Investment Bank and the City of Parnu in Estonia have agreed to a EUR 15 million loan for projects under the city’s development program, including the construction of a new city bridge, light-traffic infrastructure, and street lighting, and investments in the education sector.
Under the thirty-year uncommitted credit facility with NIB the City of Parnu signed in 2021 that was earmarked for the city’s urban development program from 2021 to 2026, Parnu can borrow up to EUR 35 million.
The EUR 40 million bridge will be the largest investment Parnu has made since Estonia regained its independence.
The bridge will be 355 meters long, with a span of about 140 meters, making it the longest bridge span in the Baltic States. Once completed, the bridge will link the South bank of the Parnu River to the rest of the city, connecting Lai Street with Raba Street. It is set to open in June, 2025.
“The new bridge is a landmark project not only for Parnu, but also for Estonia,” said Andre Kuusvek, NIB President & CEO. “I am honored that NIB could support its crucial infrastructure developments.”
“NIB’s funding provides a sense of security to the city of Parnu,” said Meelis Kukk, Parnu’s Deputy Mayor. “The bridge’s construction requires significant expenditures from the city. With NIB’s funding, we can still invest in the other planned infrastructure developments, ensuring that the city can keep developing,”
Other parts of the loan will finance light-traffic-infrastructure developments such as autonomous corridors for bikers and pedestrians, and educational-sector buildings, including the Raekula School and Ulejoe kindergarten , both of which will be renovated to improve room-planning and energy efficiency.
With approximately 50,000 inhabitants, Parnu is Estonia’s fourth largest city.
The NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway, and Sweden. The bank finances private and public projects in and outside those member countries.
Image source: NIB.int
