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"Merko Statyba" Secures 369 Million Euros in Bank Financing for Rūdninkai Military Town Project
🇱🇹 Lithuania /Conflict & Security

"Merko Statyba" Secures 369 Million Euros in Bank Financing for Rūdninkai Military Town Project

From Delfi · () Lithuanian

Translated from Lithuanian, summarized and contextualized by DistantNews.

At a glance

News Sources not specified New plan
  • Lithuania has secured 369 million euros in financing from EIB, SEB, and Swedbank for the second phase of the Rūdninkai military town project.
  • The funding will enable Merko Statyba to begin construction of essential military infrastructure, including roads, training areas, and accommodation for up to several thousand soldiers.
  • The base, located near the Belarusian border, is expected to be operational by early 2028 and will house a German combat-ready brigade of approximately 5,000 soldiers.

Lithuania has secured a significant financial package of 369 million euros to advance the construction of the Rūdninkai military town. The financing, provided by the European Investment Bank (EIB), SEB, and Swedbank, will enable the second phase of the project to commence. Merko Statyba, the general contractor, will use these funds to build modern military infrastructure on a 170-hectare site approximately 23 kilometers south of Vilnius.

The second phase, encompassing parts B and C of the project, will create all necessary facilities for a military base designed to accommodate up to several thousand troops. The development includes roads, pathways, parking areas, outdoor lighting, and drainage systems. The base is slated to become operational in early 2028. This expansion is crucial for Lithuania's defense capabilities and its commitment to NATO.

The financing obtained allows us to start the second construction phase of the Rūdninkai military town.

— Saulius PutrimasGeneral Director of Merko Statyba, commenting on the secured financing.

Real estate company "Kapitel" has joined as an investor and future manager of the infrastructure. However, Merko Statyba will retain its role as the primary design and construction contractor, holding a 30% stake in the project companies and the building management and maintenance firm. The Ministry of National Defence announced that the full implementation of the second phase began on July 13, following the finalization of public-private partnership agreements with Merko Statyba.

The Rūdninkai military town project is closely linked to Germany's decision to permanently station a combat-ready brigade in Lithuania. By 2026, approximately 5,000 German soldiers and civilians, some with families, are expected to relocate to Lithuania. The brigade is projected to reach full operational capacity by 2027. The new base near the Belarusian border is a key element in strengthening the eastern flank of NATO.

The second phase of development will create all the necessary modern military infrastructure.

— Ministry of National DefenceDescribing the scope of the Rūdninkai military town's second phase.
DistantNews Editorial

Originally published by Delfi in Lithuanian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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