Varna Municipality will invest a total of 22.9 million leva in 2009 in the development of a new inner city road network and the rehabilitation of old streets, boulevards, and junctions. Of the total investment, 60 per cent will be made available through a bank loan.

To carry out the municipality's capital spending programme, a total of 50 million leva will come from loans. From local municipal revenue, 2.1 million leva has been generated and allocated for the reconstruction of Atanas Moskov Str and Devnya Str. The former intersection will be transformed into a large roundabout.

A further 4.5 million leva is earmarked for the re-design of the Maria Louisa Blvd and the transformation of July 27 Str into a two-way street.

"The sum of 4.5 million leva for now is just an estimate. Once the  project is being finalised meticulously, and all other details formulated, we will be able to acquire a better perspective of the actual finances required," said the boss of Engineering Infrastructure at Varna Municipality, Plamen Penev.

Other renovation projects include Drin Str, the intersection of Tsar Osvoboditel Blvd and Hristo Smirnenski Str, two projects which are likely to absorb close to five million leva.

The capital programme was augmented by further 1.5 million leva to 9.6 million, doubling in amount after the state forwarded to Varna aid worth 10.5 million leva meant for infrastructure projects and coverage of social expenditures.

Varna will not be able to allocate any funds for the construction of the new sewerage network in Vinitsa and Galata. The project has been postponed on several occasions, with the final delay being designated for 2009, but because of a lack of funds, construction will not commence this year either.