The European Investment Bank (EIB) has extended a loan of €200m to Egypt as the first tranche of the €600m loan for the third-phase extension of the Cairo metro.
The project will extend Line 3 of the Cairo metro by 17.7km, serving 15 stations and linking with the main transportation corridors of greater Cairo.
Line 3 will serve the Cairo Business District and act as an east-west connector, linking Cairo International Airport in the east with Imbaba-Mohandiseen and the Doqqi / Boulaq El Dakrour / Cairo University area in the west.
The extension is part of Greater Cairo’s Transport Master Plan to improve mobility and access to jobs and social services, particularly among the poorer citizens of the city.
The Cairo Metro expansion will help cut traffic congestion and pollution by reducing the number of cars on the road network and promoting the use of public transport.
EIB president Werner Hoyer said following the Arab Spring, the challenge for the new Egyptian government is to restore confidence in the economy.
"Developing infrastructure, such as ensuring mobility, and fostering business through the Community Development Programme is key to promoting growth and employment," Hoyer said.
The project will cost €2.4bn and it will co-financed by the Agence Française de Développement (AfD).
Cairo Metro is also building a fourth metro line, work on which started in 2011 and is scheduled to complete by 2020.
Image: The extension is part of Greater Cairo’s Transport Master Plan.