JBIC SIGNS ODA LOAN AGREEMENT WITH TUNISIA - To Reduce Traffic Congestion and Air Pollution -
1. Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Yasuda) signed today an agreement with the government of Tunisia at its head office in Tokyo to provide a loan totaling 13,171 million yen for the Metropolitan Railway Electrification Project in Tunis. With this loan, the cumulative ODA loan commitments by JBIC to the Republic of Tunisia number 24, and total 153,461 million yen.
2. The proceeds of the loan will be used for procurement of materials, equipment and services(the procurement of railway cars and consulting services)necessary for electrification of the 23km-railway (Tunis - Borj Cedria;) as well as the expansion and electrification of the depot in Borj Cedria.
3. The government of Tunisia has been carrying out a transportation sector development plan under the Ninth National Development Plan (1997 - 2001). The reduction of urban traffic congestion, resulting from the rapid urbanization and population growth, is considered one of the priorities for investment. The recent population growth has led to the expansion of the Tunis Metropolitan area, which is the country's economic, social and administrative capital with a population of some 2 million. As a result, the metropolitan area faces a serious rush-hour traffic congestion problem and consequently, environmental aggravation.
4. The loan is expected to help improve the transportation capacity of the metropolitan railway, reduce traffic congestion by encouraging a shift from road transportation, and contribute to the alleviation of air pollution and other improvements in the environment.