EBRD signs MoU on 700 mln euro investment in road modernisation in Bosnia

The programme refers to the period 2018-2020.

The MoU was signed between the bank and the ministers of transport and communications of Bosnia's two entities, the Federation and the Serb Republic, the EBRD said in a statement.

The planned investment programme in the Federation includes the section of Corridor Vc from Poprikuse to Nemila; the tunnel Ivan on Corridor Vc; the section of Corridor Vc from the Mostar South interchange to Tunnel Kvanj; the section of Corridor Vc from Karuse to the inter-entity boundary line in Tunnel Putnikovo Brdo; and the Corridor Vc section between Tunnel Ivan and Mostar South interchange.

In the Serb Republic it includes the section of Corridor Vc from Rudanka to the inter-entity boundary line in Tunnel Putnikovo Brdo and the section of Corridor Vc from Vukosavlje to Podnovlje.

The programmes in the two entities will be implemented by their individual road companies, JP Autoceste FBiH and JP Autoputevi RS.

"We are very pleased to sign this memorandum of understanding today. After the recent breakthrough at the political level we are now ready to deliver the projects which have been under preparation for some time and which are overdue for the future prosperity of the country, " EBRD president Suma Chakrabarti said.

The European Commission welcomed the MoU.

The Commission "stands ready to provide further EU grant funding for this important connection," Christian Danielsson, director general DG NEAR - Neighbourhood and Enlargement Negotiations of the European Commission, said. "In this perspective, the European Commission has already committed around 100 million euro since 2015."

Since the beginning of its operations in Bosnia and Herzegovina, the EBRD has invested more than 2.1 billion euro in over 146 projects in the country.

($=0.809660 euro)