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The City of Cape Town has secured a €100 million loan from French development Bank Agence Francaise de Developpement to fund its water, energy and transport infrastructure development. The city will use 49% of the loan to modernize existing and develop new water and sanitation infrastructure, 24% to improve urban mobility assets and 17% to boost consumer access to electricity. According to City of Cape Town Mayor Geordin Hill-Lewis the loan will help the city advance its plan to invest R120 billion to modernize infrastructure and enhance economic opportunities for citizens.
“To achieve this, we must lay the foundation now in the form of water and energy security, better sanitation, a cleaner environment for all, greater urban mobility, and climate change resilience,” he said.
The loan will be used as part of the City of Cape Town’s R43 billion medium-term infrastructure plan aimed at boosting economic growth and addressing social-spatial inequality and resilience to climate change.
The Agence Francaise de Developpement says the new loan is part of efforts by the bank to expand its support on helping the city improve citizens’ access to new infrastructure and basic services having previously supported the city with a R2,3 billion loan and technical support for infrastructure projects.
