Tenders and financing for Serbian highways

The Serbian Government is considering a loan from China’s Export-Import Bank, which would pay for the construction of the E-763 highway. The bank looks set to give its approval for the €223 million loan, which would pay for 90% of the construction work for the E-763, or Obrenovac-Ljig, highway. The loan would be approved over a 20 year repayment period and a five year grace period at the fixed rate of 2.5%/year. Meanwhile tendering will open for completion works on Serbia’s Pirot-Dimitrovgrad highway unti
November 22, 2013 Read time: 2 mins
The Serbian Government is considering a loan from China’s 1290 Export-Import Bank, which would pay for the construction of the E-763 highway. The bank looks set to give its approval for the €223 million loan, which would pay for 90% of the construction work for the E-763, or Obrenovac-Ljig, highway. The loan would be approved over a 20 year repayment period and a five year grace period at the fixed rate of 2.5%/year.

Meanwhile tendering will open for completion works on Serbia’s Pirot-Dimitrovgrad highway until 9th January 2014. The project was originally to have been carried out by the Austrian company 2859 Alpine. However Alpine hit financial problems and work stopped, so the tender is for the remaining 14.3km of the highway still needing to be completed. The work will be funded by the 1166 European Bank for Reconstruction and Development (EBRD).

At the same time, there is now legal wrangling between the Serbian Government and the liquidation manager for Alpine, Jaksch Schoeller & Riehl. The Serbian company 3235 Koridori Srbije is seeking a repayment of €78 million in damages at the Vienna Trade Court. However Alpine is seeking payments from Serbia. A second review of the case will be carried out shortly for the respective financial demands.
Finance & Funding Road Structures

Related Content

  • Act FAST when it comes to bridge maintenance, argues Cliff Weston
    February 27, 2017
    Deck waterproofing remains critical to a bridge’s structural integrity for its design life, explains Cliff Weston, director of Stirling Lloyd To properly maintain deck waterproofing there must be a willingness to look at solutions based on whole-life costing rather than just short-term initial costs. There are lessons to be learned from examples of prematurely failed infrastructure due to a focus on initial short-term costs.
    Read More
  • Finland reverses its plan to impose user-pay roads
    January 24, 2017
    The Finnish government has axed controversial plans to privatise the operation of a large number of major roads and turn them into user-pay infrastructure. But transport Minister Anne Berner also announced that the government would now keep a tax on new car sales. The tax was going to be scrapped as part of the move to make road users pay tolls. Berner had recently announced that the government would put the operation of major highways under a new stand-alone agency that would engage the private secto
    Read More
  • Delays on Slovakian projects
    July 9, 2012
    Work on several new highways being built in Slovakia as public-private partnerships (PPPs) will be delayed by six to 12 months. This means that the first sections of the Martin-Presov link will not open before 2011. The last section is expected to be completed in either late 2012 or early 2013.
    Read More
  • Philippines project finding funding
    December 20, 2017
    Road in the area around Mindanao in the Philippines will benefit from the provision of a loan worth US$380 million. This funding package is being supplied by the Asian Development Bank (ADB). The loan will be used for the Improving Growth Corridors in Mindanao Road Sector project. This is intended to improve and upgrade up to 280km of roads in the area. A further $123 million is being provided by the Philippines Government for the work, which will cost $503 million in all.
    Read More

Highlighted Content