1 Apr 2011
NIB to finance extension of metro line from Helsinki to Espoo
NIB will provide a loan for Länsimetro Oy to finance the building of a metro line from Helsinki to Espoo in Finland. The 30-year-maturity loan totalling EUR 120 million will help to connect southern parts of Espoo to the regional rail transport system.
It is estimated that nearly 100,000 passengers will use the metro daily and that around 60,000 persons will cross the border between Helsinki and Espoo every day. Once the West Metro is completed, bus traffic from southern Espoo to the centre of Helsinki along the Western Motorway will be discontinued. Feeder buses will transport passengers to metro stations.
“The major environmental advantage with the project is the transfer of passengers from road to rail and the reduction of traffic congestion in the city centre of Helsinki. Railway transportation causes considerably lower emissions per person-km in comparison to road travel,” says Johnny Åkerholm, NIB President and CEO.
“For Länsimetro Oy it is important that NIB is prepared to finance the project through this agreement. We are particularly satisfied that the project complies with the extremely tight environmental requirements set by NIB,” says Matti Kokkinen, Managing Director of Länsimetro Oy.
Länsimetro Oy was founded in 2007 as a jointly owned company by the cities of Espoo and Helsinki. Länsimetro Oy will build the new metro line but the line will be sublet to Helsinki City Transport (HKL), who will be responsible for running the metro as well as the maintenance of track stations and depots.
The Nordic Investment Bank (NIB) is the common international financial institution of the eight Nordic and Baltic countries. NIB provides long-term financing to the energy, environmental, transport, logistics and communications, and innovation sectors for projects that strengthen competitiveness and enhance the environment. 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
Kim Krokfors, Senior Manager Lending, at +358 10 618 0517,
Jukka Ahonen, Director, Head of Communications, at +358 10 618 0295,
Matti Kokkinen, Managing Director, at +358 50 347 1558,