NIB finances new city bridge in Pärnu, Estonia

NIB and the City of Pärnu have agreed to a EUR 15 million loan for projects under the city’s development programme. This includes the construction of the new city bridge, light traffic infrastructure and street lighting, and investments in the education sector.

NIB and the City of Pärnu signed a thirty-year uncommitted credit facility in 2021. This facility was earmarked for the city’s urban development programme from 2021 to 2026. The agreement allows Pärnu to borrow up to EUR 35 million from NIB, of which EUR 15 million will now be disbursed. 

With NIB’s financing, Pärnu will fund the construction of the new city bridge. The EUR 40 million bridge will be the largest investment Pärnu has made since Estonia regained its independence.

The bridge will be 355 meters long. The bridge’s span will be about 140 meters, making it the longest bridge span in all the Baltic States. Once completed, the bridge will link the South bank of the Pärnu River to the rest of the city, connecting Lai Street with Raba Street. It is set to be opened in June 2025.

“The new bridge is a landmark project not only for Pärnu, but also for Estonia. I am honoured that NIB could support its crucial infrastructure developments,” says André Küüsvek, NIB President & CEO. 

“NIB’s funding provides a sense of security to the city of Pärnu. The bridge’s construction requires significant expenditures from the city. With NIB’s funding, we can still invest in the other planned infrastructure developments, ensuring that the city can keep developing,” says Meelis Kukk, the Deputy Mayor of Pärnu.

Moreover, part of the loan will finance light traffic infrastructure developments and educational sector buildings. The light traffic infrastructure will include autonomous corridors for bikers and pedestrians. The Raeküla School and Ülejõe kindergarten will be renovated to improve room-planning and energy efficiency.

With ca 50 000 inhabitants, Pärnu is Estonia’s fourth largest city and is located on the major traffic route Tallinn–Riga.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s.

For further information, please contact
Kersti Talving, Country Lead for Estonia, at +358 10 618 0245, kersti.talving@nib.int

Anita Algus, Communications, at +358 10 618 0524, anita.algus@nib.int