The Saudi Fund for Development has extended a $30 million loan to Albania to finance the construction of a 30-kilometer road section, part of Vlora River road project, southern Albania.
The loan agreement to finance rehabilitation project of Vlora River road was signed by the Albanian Finance Minister Arben Ahmetaj and the Saudi Fund for Development representative, Mohammad Aljenaidel, during a ceremony in Tirana on Wednesday.
The project includes the construction of a 94-km road linking Vlora Bypass with Levan-Tepelene highway. The Fund’s loan will finance rehabilitation of a 30-km road section with construction works expected to complete by end of 2020.
The total cost of project, co-financed by the Kuwait Fund for Arab Economic Development and the Saudi Fund for Development, is estimated $72 million.
The reconstruction of the road will create a new attractive and safer corridor that will enable the connection with the South coastline. On the other hand, the proposed intervention is a project of the rural development with great importance for the Municipality of Selenica, Vlora Municipality and Municipality of Himara as it will improve the access to services for the residents in the villages around Vlora river valley. It will also reduce the costs and time of transport for the residents as well as their agricultural products towards the markets. It is also expected to diversify the local economy through promotion of ecotourism.