KfW IPEX-Bank, the EIB, and Nord/LB are jointly financing the expansion of public transport in the Chemnitz region of Germany.

Together, they will make credit lines totalling €189 million (about $208.4 million) available to the local public transport authority Verkehrsverbund Mittelsachsen (VMS) to expand its fleet and maintenance capacity. The EIB’s share of this is €89 million. Consortium leader KfW IPEX-Bank and the account-holding bank Nord/LB will each provide €50 million.

Guarantee holder: Acquisition of 19 tram-trains to be used in the City area and the surroundings of Chemnitz and construction of a depot for up to 60 trains.

Description: The project will increase the quality of the rail-based public transport services provided by the Promoter. It will thereby promote sustainable transport by improving the modal competitiveness of rail transport against road and contribute to the reduction of noise, accidents, pollution and CO2 emissions.