Loan Contract Signed for the Construction of Kostrena Elderly Centre
On 10 July, a loan contract was signed in the Municipality of Kostrena, by which the Croatian Bank for Reconstruction and Development (HBOR) would finance the project of constructing the Centre for the Elderly in Kostrena.
By the decision of the Municipal Council, the Municipality of Kostrena raised a loan from HBOR under the Public Sector Investment loan programme in the amount of EUR 10 million at the term of 15 years.
The total value of the project of constructing and equipping the Kostrena Centre for the Elderly is EUR 20,636,389.76, of which the amount of EUR 6.1 million is a grant of the Government of the Republic of Croatia under the National Recovery and Resilience Plan (NRRP). The County of Primorje and Gorski Kotar, which has so far secured the amount of EUR 1 million, will participate in the implementation costs. After the model has been completed that determines the manner and the terms and conditions for other municipalities and cities to be included in the project, the share of the financing of the Municipality of Kostrena should be significantly lower.
Hrvoje Čuvalo, MSc, President of the Management Board of HBOR, expressed his satisfaction with the fact that the credit line specially designed for the public sector would help realise this valuable project.
"I am glad that HBOR participates in the financing of this project. Owing to the interest rate subsidy under the National Recovery and Resilience Plan, the interest rate stands at the favourable 2.5 percent, which results in savings of almost EUR 1 million", stressed Hrvoje Čuvalo.
By signing this contract, Kostrena took a key step in the realisation of one of the largest infrastructure projects in the history of the Municipality, which had been part of the development plans of all previous municipal authorities. Each of them had taken a step closer and had made a contribution towards the final completion of the project.
From the beginning, the capacity of the project has not been planned exclusively for the needs of the residents of Kostrena, but for the entire county. The project will improve the provision of social services at the county level. Financing accommodation in such an institution with decentralised funds is possible only if the institution operates as part of the government and county social welfare system.
"The construction of the Centre for the Elderly in Kostrena represents the realisation of a long-standing desire of the people of Kostrena, and the funds received through HBOR’s loan will complete the implementation of the project by contributing to the improvement of the quality of life and social inclusion of the elderly residents of Kostrena and our county. The Centre for the Elderly is the proof of our dedication to creating better living conditions for all generations of Kostrena residents," said Dražen Vranić, Mayor of Kostrena.
Financed by the European Union - NextGenerationEU. The views and opinions expressed are solely those of the author and do not necessarily reflect the official views of the European Union or the European Commission. Neither the European Union nor the European Commission can be held responsible for them.
By the decision of the Municipal Council, the Municipality of Kostrena raised a loan from HBOR under the Public Sector Investment loan programme in the amount of EUR 10 million at the term of 15 years.
The total value of the project of constructing and equipping the Kostrena Centre for the Elderly is EUR 20,636,389.76, of which the amount of EUR 6.1 million is a grant of the Government of the Republic of Croatia under the National Recovery and Resilience Plan (NRRP). The County of Primorje and Gorski Kotar, which has so far secured the amount of EUR 1 million, will participate in the implementation costs. After the model has been completed that determines the manner and the terms and conditions for other municipalities and cities to be included in the project, the share of the financing of the Municipality of Kostrena should be significantly lower.
Hrvoje Čuvalo, MSc, President of the Management Board of HBOR, expressed his satisfaction with the fact that the credit line specially designed for the public sector would help realise this valuable project.
"I am glad that HBOR participates in the financing of this project. Owing to the interest rate subsidy under the National Recovery and Resilience Plan, the interest rate stands at the favourable 2.5 percent, which results in savings of almost EUR 1 million", stressed Hrvoje Čuvalo.
By signing this contract, Kostrena took a key step in the realisation of one of the largest infrastructure projects in the history of the Municipality, which had been part of the development plans of all previous municipal authorities. Each of them had taken a step closer and had made a contribution towards the final completion of the project.
From the beginning, the capacity of the project has not been planned exclusively for the needs of the residents of Kostrena, but for the entire county. The project will improve the provision of social services at the county level. Financing accommodation in such an institution with decentralised funds is possible only if the institution operates as part of the government and county social welfare system.
"The construction of the Centre for the Elderly in Kostrena represents the realisation of a long-standing desire of the people of Kostrena, and the funds received through HBOR’s loan will complete the implementation of the project by contributing to the improvement of the quality of life and social inclusion of the elderly residents of Kostrena and our county. The Centre for the Elderly is the proof of our dedication to creating better living conditions for all generations of Kostrena residents," said Dražen Vranić, Mayor of Kostrena.
Financed by the European Union - NextGenerationEU. The views and opinions expressed are solely those of the author and do not necessarily reflect the official views of the European Union or the European Commission. Neither the European Union nor the European Commission can be held responsible for them.