EIB unlocks €340m for construction of Corridor Vc in Bosnia and Hercegovina
With new €340 million allocated to Corridor Vc, the EIB continues to support this pivotal route on Pan-European network connecting the port of Ploce in Croatia with Hungary via Bosnia and Hercegovina.
The European Investment Bank (EIB) unlocked €340 million for the construction of the 36-kilometre section between Poprikuse and Medakovo on the Corridor Vc, a key connectivity infrastructure in the country also supported by the European Union grants and by EBRD. This investment creates new employment and business opportunities in Bosnia and Herzegovina and contributes to regional integration.
With new €340 million allocated to Corridor Vc, the EIB continues to support this pivotal route on Pan-European network connecting the port of Ploce in Croatia with Hungary via Bosnia and Hercegovina. Up to date, the EU Bank provided €1 billion for the construction of 155 km-long highway along the BiH section of the corridor. This modern transport network is expected to facilitate commuting for 1.5 million people, contribute to road safety and facilitate regional cooperation.
As part of exceptional measures adopted in response to COVID-19, the EIB will increase financing to cover 90% of the total costs to advance the project implementation.
EIB Vice-President responsible for the Western Balkans, Lilyana Pavlova said: "EIB provides continuous support for the development of modern highway on Corridor Vc in Bosnia and Herzegovina. Modern, safer roads and better transport connections are vital for economic development, fluent trade and regional cohesion and they can largely contribute to attracting new foreign investments. This transaction will help create new job opportunities and support BiH post-COVID-19 recovery and integration with regional and EU market."
Head of the EU Delegation and EU Special Representative in BiH Ambassador Johann Sattler said: "I am glad that a new section of Corridor Vc is now financially secured thanks to efforts of BiH and EIB, the investment bank of the European Union. The EIB's investment will help to bring us closer to the objective of the Western Balkans Economic investment Plan to complete 75% of the Corridor Vc by 2024. As the largest donor for Corridor Vc, the European Union has allocated over €200 million for the construction of 11 sub-sections of the Corridor Vc in BiH to complement the EIB loans. As a result, BiH citizens will be better connected not only within the country but to the rest of Europe."
The Minister of Finance and Treasury of Bosnia and Herzegovina, Vjekoslav Bevanda, emphasized the importance of this Agreement for the territory of the Federation of Bosnia and Herzegovina and its state and regional significance in terms of the development of modern infrastructure, increased safety and motorway capacity. "Each project related to the construction of the motorway on Corridor Vc is of great importance and each kilometre represents a step closer to Europe for us. This is why this Agreement, in addition to its financial value, will positively affect our citizens who will have access to 35 kilometres of the new motorway on Poprikuše-Medakovo Section", said Minister Bevanda.
(News source: www.devdiscourse.com)