EIB supporting Finnish PPP highway project

The European Investment Bank (EIB) is providing financial support for a key Finnish highway project, which will be run on a PPP basis. The EIB is providing a €102 million long-term loan to finance the construction of a 32km highway stretch between Hamina and Vaalimaa in Finland. This section will be built on a public-private-partnership (PPP) basis. Using this model is expected to reduce the construction cost and also shorten the time needed to complete the work in comparison to a conventional procurement p
June 17, 2015 Read time: 2 mins
The new highway will be an important link for Finland
The 1054 European Investment Bank (EIB) is providing financial support for a key Finnish highway project, which will be run on a PPP basis. The EIB is providing a €102 million long-term loan to finance the construction of a 32km highway stretch between Hamina and Vaalimaa in Finland. This section will be built on a public-private-partnership (PPP) basis. Using this model is expected to reduce the construction cost and also shorten the time needed to complete the work in comparison to a conventional procurement procedure.

The new highway section will be a key section of the E18, Finland’s most important international road connection, which also constitutes the core of the Scandinavian–Mediterranean Network Corridor.

The Hamina–Vaalimaa project comprises the construction of the 32km of new highway as well as related road improvements on the last section of the motorway from Turku through Helsinki to the eastern border. It also includes a highway tunnel, several bridges, noise dampening measures and a new truck waiting area in Vaalimaa. The construction work is expected to be completed in 2018.
 
This project is the third PPP project in Finland receiving support from the EIB, a capable financier of PPP projects transferring its competence and experience in this area to Finland. The PPP model allows more effective planning, and above all, the accelerated construction and commissioning of the motorway.
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