German Ambassador to Peru Jörg Ranau today addressed the construction of Lima Metro's Line 2, calling it a "milestone" in the country's public investment.
On Thursday morning, Peru's Economy and Finance Ministry and Germany's KfW Development Bank entered into a loan agreement worth €179 million (about US$200 million) to finance part of Lima Metro's Line 2 and Faucett–Gambetta Branch.
"This project marks a milestone in Peru's public investment history due to the impact it will have on reducing greenhouse gas emissions, as well as improving Lima and Callao cities' living conditions," the diplomat said.
Regarding KfW's loan, the official noted it has been guaranteed by the German government.
"This credit […] is one of Germany's most important urban transport financial operations, a priority confirmed in recent bilateral negotiations," he pointed out.
By financing these kind of initiatives, German cooperation not only aims to contribute financial resources to the country, but also help strengthen the institutions involved in corresponding implementation.
"We hope Peru and Germany's bilateral cooperation efforts will allow the Peruvian government to achieve its goals towards the Independence Bicentennial [2021]," Ranau added.
Said objectives include reaching certain national contributions, mitigating greenhouse gas emissions and reducing the public infrastructure gap, a key subject for President Kuczynski's administration.
"In this sense, we are committed to reforms that reinforce the public sector and promote private investment to meet said objectives," he stressed.
Likewise, the Ambassador highlighted KfW's loan constitutes "a sign of trust" between the Inca nation and his country, which sees in Peru a climate-protection partner.
"Finally, I would like to reiterate the German government's commitment to deepen development cooperation, in order to support Peruvian government's efforts in public transport matters," he concluded.
(END) MDV/DHT/MVB