EBRD may issue $438 million loan for Russian car plant construction

MOSCOW. November 13. KAZINFORM The European Bank for Reconstruction and Development (EDRD) could issue a loan worth up to 320 million euros ($438 mn) to carmaker PCMA Rus to develop its car plant in the central Russian town of Kaluga, the bank said.

PCMA Rus is a joint venture established in Russia between the carmakers PSA Peugeot Citroen and Mitsubishi Motors Corporation. The project to build the car factory is estimated at 500 million euros ($685 mn).

"When fully operational in 2013, the factory will employ around 3,000 people with a planned capacity of up to 125,000 units per year," the EBRD said on its website.

The plant will produce mid-sized passenger cars and SUVs sold under the brands Peugeot, Citroen and Mitsubishi, RIA Novosti reports.

See www.en.rian.ru