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

  • Slovakia’s troubled D1 highway
    February 20, 2012
    Slovakia’s Ministry of Transport is to finance construction work on the 75km section of D1 highway between Martin and Presov from state funds, with work expected to start in the second quarter of 2011.
    Read More
  • Financing model confirmed for German Autobahn
    June 27, 2016
    The refinancing package for Germany’s A8 Autobahn has now been formalised. The section of the A8 runs between Ulm and Augsburg in the south of Germany and is operated by concession firm Pansuevia, a 50:50 partnership between HOCHTIEF and STRABAG. The 58 km section of the A8 between Ulm and Augsburg was opened to traffic on schedule in September 2015 after four years of construction. PANSUEVIA designed, financed, and carried out the widening of the section to six lanes and took over maintenance and operation
    Read More
  • EBRD mulls loan for Macedonian Corridor 8 work
    July 13, 2021
    The €110million (US$ 130.5 million) load would help construct a 10.7km section, including a tunnel, between Bukojcani and Kicevo.
    Read More
  • Tender evaluation nears for Croatia’s Peljeski Bridge Project
    September 22, 2017
    Croatia’s roads agency Hrvatske Ceste will soon start evaluating tenders for the controversial Peljeski Bridge project, according to national media. Bids for construction of the four-lane 2.4km long bridge have been submitted by the China Road and Bridge Corporation, Austria's Strabag as well as consortia headed by Italy’s Astaldi and the Turkish company Ictas. The bridge will connect Croatian territory by traversing the Adriatic Sea’s Mali Ston Bay.
    Read More

Highlighted Content