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The European Investment Bank (EIB) on Friday signed a EUR 47 million loan agreement that will support a fleet upgrade at Hungaryʼs state-owned bus company Volán, the European Commission said, Hungarian news agency MTI reports.
The loan for Volán Buszpark is the first tranche of a EUR 140 mln loan that will be used to procure 3,200 new, eco-friendly buses over the next four years, accounting for nearly half of the Volán fleet.
The new buses will help Volan reduce its carbon emissions by up to 38%.
The EC noted that two-thirds of Hungarian settlements are reachable only by bus.