Municipal Development Project

closed

The Municipal Development Project aims to make financing available for infrastructure investments in smaller and medium Lithuanian municipalities, in support of continuing Government reform of local government finance; to strengthen the municipalities' capacity for investment planning, capital budgeting, financial management, and the ability to deliver improvements in basic urban services; and to work with other international finance institutions and key bilateral partners in supporting a more effective system of local government administration and finance in preparation for European Union (EU) accession. The three project components are 1) a line of credit to finance viable investment subloans for institutional capacity building, training, management consulting support to municipalities, and project preparation assistance; 2) technical assistance to finance infrastructure projects at the municipal level including water supply, wastewater treatment, solid waste management, district heating, energy efficiency renovations, and street lighting; and 3) financing of the institutional development of HUDF (Housing and Urban Development Foundation) by providing personnel, equipment, and vehicles.