EBRD Considers Lending to Water Utility Company of Bulgaria's Smolyan

The European Bank for Reconstruction and Development (EBRD) said it is considering providing a loan to the water utility company servicing Bulgaria's Smolyan city, in order to partially finance a 39.1 million euro ($44.5 million) project for infrastructure upgrades.

The loan which the EBRD is considering to provide to Smolyan Water Supply and Sanitation Company amounts to 4.1 million euro, of which 1.5 million euro will be funded with EBRD's ordinary capital resources and 2.6 million euro will be European Structural and Investment Funds (ESIF) contributions from the EBRD-EU Special Fund, the EBRD said in a project summary description.

The proceeds of the loan will co-finance the construction of new and the rehabilitation of existing water and wastewater infrastructure, jointly with investment grants from the EU Operational Programme Environment 2014-2020.