Bosnia-Herzegovina motorway first

THE EBRD (European Bank for Reconstruction and Development) is increasing its support for the modernisation of the transport infrastructure of Bosnia-Herzegovina with a €21 million loan for the completion of the construction of the Banja Luka-Gradiska motorway. The motorway, being built with financing from both the EBRD and the European Investment Bank (EIB), is the first in the Republika Srpska, and links the capital Banja Luka with the international transport Corridor X [a pan- European corridor which run
July 5, 2012 Read time: 2 mins
THE EBRD (1166 European Bank for Reconstruction and Development) is increasing its support for the modernisation of the transport infrastructure of Bosnia-Herzegovina with a €21 million loan for the completion of the construction of the Banja Luka-Gradiska motorway.

The motorway, being built with financing from both the EBRD and the 1054 European Investment Bank (EIB), is the first in the Republika Srpska, and links the capital Banja Luka with the international transport Corridor X [a pan- European corridor which runs between Salzburg in Austria and Thessaloniki in Greece, passing through Austria, Slovenia, Croatia, Serbia, Macedonia and Greece].

The EBRD's new sovereign loan will be extended to the Republika Srpska Motorways, a newly-established public company responsible for managing the motorway network. The proceeds of the loan will be used to finance the construction of the Mahovljani Interchange, which will complete the missing link on the Banja Luka-Gradiska motorway. The project will also support a programme of institutional strengthening for this new company.

The project includes the construction of a 1.8km new two-lane motorway, four interchange two-lane slip roads, with a total length of 6.9km, two viaducts, which carry two of the slip roads over the new motorway, and four other bridges within the interchange.

In addition to the EBRD loan, the project is co-financed by €5 million in grant funds provided by the 2465 European Commission through its preaccession programme, and €500,000 from the Central European Initiative and the Western Balkans Investment Framework, a joint grant and lending facility established by the European Commission, the European Investment Bank, the EBRD, and the 1172 Council of Europe Development Bank to finance priority projects in the Western Balkans.

Related Content

  • Albanian road investment
    May 15, 2012
    The European Bank for Reconstruction and Development (EBRD) is providing major funding in Albania’s road network. A loan worth €53 million will help pay for the construction of the new Fier and Vlore bypasses. This loan will aid further development of the Albanian road network and boosting economic integration in the country by co-financing the construction of the two bypass roads, located in south-western Albania. The EBRD loan is structured in two tranches and will be used by the Albanian Road Authority t
    Read More
  • Serbia’s pan-European Corridor X is in the slow lane
    October 23, 2017
    It’s been slow progress on Serbia’s Corridor X project. Gordon Feller reports. Back in the early 2000’s, the European Union undertook an ambitious programme to link the main cities of its south-eastern region. This involved connecting five key seaports – the Greek cities of Patras, Igoumenitsa, Piraeus and Thessaloniki as well as Romania’s Black Sea city of Constanta. Initially the plan involved two motorways across Greece. The first was a new 780km route including a branch to Ormenio on Greece’s north-eas
    Read More
  • Cengiz wins Corridor VC contract in Bosnia
    March 21, 2023
    Cengiz submitted the lowest bid in the tender which attracted three offers in the deal said to be worth around €361.8 million, according to Bosnia’s state highways agency Autoceste.
    Read More
  • Loans for Albanian roads
    May 15, 2012
    The European Bank for Reconstruction and Development (EBRD) is providing a loan worth €50 million to help with the rehabilitation of regional and local roads as well as the modernisation and improvement of transport infrastructure in Albania. This EBRD loan will be used to improve to 500km of roads in rural areas of Albania. The European Investment Bank (EIB) will provide a loan for the same amount for the project. The project is also supported by €33 million in grant financing from the European Commission
    Read More

Highlighted Content