Bosnia agrees funding for highway construction plans

Bosnia’s highway company Autoceste Federacije BiH will invest €500 million in the construction of the Corridor Vc road. The European Investment Bank (EIB) will provide a loan of €166 million to part finance the project. The plans call for the construction of the 56km highway as well as an additional 10km of the Sarajevo ringroad. The cost of the project is three times higher than any other that the country has so far planned. Autoceste Federacije BiH has said that it will finance land expropriation.
March 22, 2012 Read time: 2 mins

Bosnia’s highway company Autoceste Federacije BiH will invest €500 million in the construction of the Corridor Vc road.

The 1054 European Investment Bank (EIB) will provide a loan of €166 million to part finance the project. The plans call for the construction of the 56km highway as well as an additional 10km of the Sarajevo ringroad. The cost of the project is three times higher than any other that the country has so far planned. Autoceste Federacije BiH has said that it will finance land expropriation. Meanwhile five bids have so far been submitted for the construction of the Sarajevo ringroad project. Bids have come from two consortia and a joint venture partnership. These are from a Bosnian consortium comprising GP Put Sarajevo, GP ZGP Sarajevo and Euroasfalt Sarajevo, a consortium comprising Granit Skoplje, Integral Inzinjering, JV Cesta Varazdin and 1332 Alpine Bau, followed by a bid from a joint venture comprising 945 Strabag, Osijek Koteks and HP Investing.

Meanwhile the government of the Bosnian autonomous entity Republika Srpska has admitted that the level of built roads network in the entity is too low at 16.4%. This is below the European average of 77%. The state said that a total of €68.51 million has been invested in construction of the Mahovljani-Glamocani road part of the Banja Luka-Gradiska motorway. In 2010, an average investment in road maintenance fell 1.4% compared with the previous year.

For more information on companies in this article

Related Content

  • Bosnian highway underway
    February 24, 2012
    Construction work on a section of Bosnia's Corridor 5c highway is set to commence by the end of September 2011.
    Read More
  • Contractor bankruptcy delays Romanian road project
    July 26, 2013
    The recent bankruptcy of the Austrian contractor Alpine Bau has affected a number of key projects across Europe in countries including Norway, Poland and now Romania. Following Alpine Bau’s bankruptcy, Romania’s national roads authority, CNADNR, cancelled the Austrian contractor’s contract to build a section of highway from Nadlac-Arad. So far, Alpine Bau has been paid €69.5 million to build a 16.6km section of the highway and around 85% of the work has been completed. It is not clear at this stage how the
    Read More
  • PBDiM and Gulermak start on Warsaw's ring road
    June 26, 2017
    Work has started on the 18.5km southern ring road around the Polish capital Warsaw.
    Read More
  • CT Ictas and Astaldi submit complaint over Peljeski Bridge award
    February 14, 2018
    Croatian media are reporting a dispute between two consortia and that of the China Road and Bridges over the Peljeski bridge project. Croatia’s national roads company Hrvatske Ceste chose China Road and Bridges but the decision is being challenged by a consortium led by the Italian firm Astaldi and one by Turkish CT Ictas. The two consortia submitted their complaints to the Croatian State Commission for Control of Public Ordering Processes in January only days after similar action by another consortia led
    Read More

Highlighted Content