The Asian Development Bank (ADB) has approved a loan of 199.46 million US dollars to support building an intelligent transportation system in southwest China’s Guizhou Province.

The fund will finance building an intelligent transportation system in Gui’an New Area with an aim to cut pollution, ease traffic congestion and improve road safety.

According to the area’s development office, construction of the system will cost 495 million US dollars in total. To be completed by the end of 2025, the system will have real-time traffic, road and weather monitoring and emergency response functions.

The fund will also be used for buying 200 clean energy buses, building 20 bus stops and 21 power charging stations for electric vehicles.

The system will set an example of how China and other countries can deal with problems brought by urbanization, such as traffic congestion and road safety issues, said Susan Lim, ADB’s transport specialist.

Gui’an New Area, a state-level new area approved by the State Council in 2014, is located between the cities of Guiyang and Anshun. It plays a strategic role in building an economic growth pole in western China, an inland highland of the open economy and a demonstration area of ecological civilization.