The European Investment Bank (EIB) is providing two loans of EUR 33 million each for the rehabilitation of Belgrade’s Gazela Bridge and the modernisation of roads and bridges across Serbia.
The first loan will finance the upgrading of the Gazela Bridge on the E70/E75 motorway (Pan-European Corridor X) crossing the Serbian capital Belgrade, including the rehabilitation and upgrading of its access roads (total length of 24.2 km) and the R251 ring road between Bubanj Potok and Zeleznik in the south of the city (total length of 17.3 km).
The project promoter and the final beneficiary of the loan is “Putevi Srbije” (Roads of Serbia), a state-owned company. This EUR 77 million project is being co-financed by the European Bank for Reconstruction and Development, the European Agency for Reconstruction, the City of Belgrade and Roads of Serbia.
The rehabilitation of the Gazela Bridge will require the resettlement of the families currently living under both sides of the bridge. All co-financiers are working closely with the City of Belgrade and government authorities to develop a resettlement action plan that will satisfy the banks´ requirements and internationally recognised standards of good practice in relation to the resettlement of “project-affected people”. This project has been additionally supported by the UK Department for International Development, in the form of technical assistance.
The second operation, which has the character of a framework loan, is also being granted to Roads of Serbia. It will be used for the rehabilitation of some 100 bridges and priority road sections – including road pavements, retaining walls, bridges and other structures – along the main and regional roads across the country.
Thanks to its geographical position, Serbia is a key transit country for passengers and goods in the Western Balkans. A well developed transport infrastructure in terms of capacity and safety, particularly along the priority Pan European Corridor X, is of crucial importance for ensuring deeper integration of the country with the European Union and providing adequate transport links with neighbouring countries.
Background
A priority objective of the EIB, the European Union’s financing institution, is to contribute to the integration, balanced development and economic and social cohesion of the Member States. Outside the Union, the EIB implements the financial components of agreements concluded under European development aid and cooperation policies.
EIB financing in Serbia has reached EUR 1.13 billion since 2001, including the above-mentioned loans. Investments in the Serbian transport sector totalling EUR 537 million account for the lion’s share of this amount (48%).