The transport ministry and Intercity Buses on Wednesday signed a new contract aiming at upgrading and expanding intercity bus services with more regular routes.

“The new contract is another step in the implementation of the government plan to upgrade public transport,” the ministry said in a written announcement.

“The main goal is to establish public transport, particularly buses, as a substantial alternative to the mobility needs of the modern citizen.”

The contract is set to last for 10 years with a total budget of €38.32 million including VAT, with prospects to extend the services by up to 50 per cent for €48.14 million.

It will allow intercity routes to be integrated with more frequent public bus routes connecting cities across the republic.

The contract was signed on behalf of the government by transport ministry general director Stavros Michael, and on behalf of Intercity Buses by chair Xenofon Andreotis, in the presence of the public transport directorate head Andreas Nikiforou and other representatives of the company’s board of directors and the ministry.