The World Bank has approved US$113mn in additional financing to improve the urban rail and subway network in Brazil's Sao Paulo state capital, the bank said in a release.
The funding will be used to purchase at least nine new trains as well as complementary equipment for train line 11, which connects the eastern part of the city to the downtown area. The line currently carries more than eight passengers per square meter during rush hour.
The modernization work, slated for completion in 2012, will increase daily passenger capacity to 560,000, compared with approximately 438,000 in 2008, according to estimates by the line's operator, state metropolitan transport company CPTM.
The improvements are in addition to the original US$550mn in World Bank financing approved in June 2008 to expand train lines 7, 11 and 12 as well as metro lines 1, 2 and 3.
The 30-year flexible loan has a variable spread option and five-year grace period, the release said.