Tuesday, June 29, 2010

Green light for AVE

The ‘Banco Europeo de Inversiones’ (BEI) are offering a grant of 500 million Euros to finance the high speed railway line, which will carry passengers from Madrid to Murcia, via Alicante, according to the Director of Operations for Spain and Portugal, Carlos Guille Perez.

After signing an agreement with the Community of Murcia to allocate 125 millon euros to improving the road network across the region, the Director revealed that BEI had also agreed the grant for the AVE line, with a term of 30 years.

He said that “The high speed and development of the communications network throughout Europe is a high priority for the BEI foundation, which has financed the majority of existing AVE lines across Spain.”

The President of the Murcian Community, Ramon Luis Valcarcel, also expressed the importance of this contract, and the faith which the Regional Government has in the future of the rail link, which will be initiated through “constant communications with the Ministry for Promotion and Development”.

Valcarcel went on to explain that in a protocol signed last year with the Minister for Promotion, Jose Blanco, “a series of high-priority activities were laid down, which would not be affected by budget cut backs, particularly the AVE and motorway which will connect Valencia with Murcia via inland areas.”

That is good and bad news. Bad because there are some in the region who feel that the money could be invested in other ways which would be more beneficial. Good because it means that Spain is still looking to the future and not sticking to the past. High speed communication networks could prove vital to the financial recovery.