German automaker Volkswagen will receive a 170-million-euro ($241.4-million) loan from the European Investment Bank for investment in a car plant in Argentina under an agreement signed on Friday.
The EIB said in a statement the funds would go towards financing VW's existing car manufacturing facility near the Argentine capital Buenos Aires to produce energy-efficient light commercial vehicles.
The bank, the long-term financing institution of the 27-nation EU, said the money was part of a 3.8-billion-euro fund that finances operations which contribute to fighting climate change in Asia and Latin America from 2007 to 2013.
It said the project in Argentina would directly create an additional 1,800 jobs.
