The European Bank for Reconstruction and Development (EBRD) has extended a €53m loan to the Albanian Road Authority for building two bypass roads in the south-west part of the country.

The project involves constructing a 22km bypas in Fier city and a 29km bypass in the city of Vlore.

The two bypasses are key sections of Albania’s national road network and help reduce congestion in the two cities, facilitate economic integration in the region, as well as boosing tourism in southern Albania.

The project is co-financed by the European Investment Bank (EIB) and the European Union.

The loan will be complemented by grant financing worth €5.95m, which will be used for technical assistance in the preparation of detailed designs for the two bypass roads, as well to support project implementation.

The grant has been extended by the Italian Government, the European Union and the Western Balkans Investment Framework.

As part of the financing, a road tolling strategy for Albania and a study on sustainable transport policies in the country will be developed.