The European Investment Bank (EIB) has agreed to provide $136m to finance the construction of a new Bus Rapid Transit (BRT) line in Managua, Nicaragua.
Stretching nearly 10km in length, the new corridor will be used by high-capacity buses, enhancing transport services between east and west Managua.
The project will widen Avenida Juan Pablo II from two to three lanes in both directions. The new segregated third lane will be reserved for buses. The scheme will include 17 stops and provide services for 80,000 users daily.
The EIB-funded project also involves the construction of a new bicycle lane, which will be built alongside the new corridor, and the improvement of pedestrian areas through the construction of new overpasses and traffic light crossings.
The overall BRT corridor project also includes the necessary investment to revamp the drainage system and the sewerage, electricity and communications networks throughout the area.
EIB vice president Román Escolano said: “One of the objectives of the EIB - the EU bank - in offering favourable financing terms is to foster sustainable economic growth in Latin America. Today's loan represents a good example of our support for projects providing people with more rapid, safe and sustainable means of transport.”