February 28 (SeeNews) - The European Investment Bank (EIB) said it is providing in partnership with the European Union a 204 million euro ($225 million) support to Bosnia for the construction of two sections on Corridor Vc, with total length of 12.4 km.
In particular, the EIB is lending Bosnia 140 million euro towards the project, while the EU is providing a grant of 64 million euro, the Bank said in a press release on Thursday.
The financing will go for the construction of the 6.9 km long Tarcin-Ivan and the 5.5 km long Poprikuse-Nemila sections, which include four viaducts, two twin-tube tunnels, three bridges, one railway overpass, one road interchange, operation and traffic control centre, the statement reads.
“This time, the EIB and the EU have blended their funds to create a 204 million euro financing package to help Bosnia and Herzegovina develop a modern highway network and enable easier and faster movement of people, goods and services along the key pan-European Corridor Vc," EIB vice-president Dario Scannapieco, said in the statement.
"This investment will have a positive economic impact beyond Bosnia and Herzegovina, and will benefit citizens and businesses in Croatia, Hungary and the Western Balkans," he added.
Corridor Vc is a key road connecting Hungary and Croatia's Adriatic port of Ploce via Bosnia. It total length is 700 km, with 335 km of it passing through Bosnia.
“I am pleased that Bosnia and Herzegovina has secured financing for additional sections of Corridor Vc because modern transport links are key for growth and the economic development of any country aspiring to join the European Union. Recognising these benefits for its citizens, the European Union will provide over 200 million euro in grant funding to speed up the construction of 13 major connectivity projects in Bosnia,” Head of the EU Delegation in Bosnia, Johann Sattler, said in the same statement.
The Tarcin-Ivan section is located in the Sarajevo Canton, while the Poprikuse-Nemila section is located in the Zenica-Doboj Canton. The project includes the construction of the 1.7 km long Ivan tunnel. The section from Tarcin to the entrance of the tunnel is 4.9 km long.
The Sarajevo and Zenica-Doboj cantons are two of 10 cantons comprising Bosnia’s Federation, which is one of the two autonomous entities forming Bosnia and Herzegovina. The other one is the Serb Republic.
($ = 0.906357 euro)