Release date: 15 November 2010
Promoter – Financial Intermediary
FIAT Group
Location
Description
The project concerns the promoter’s investments for the modernisation and expansion of production capacity of the existing Zastava automotive plant in Kragujevac, which is controlled by the promoter through a joint-venture (JV) with the Republic of Serbia. The project includes the investments in civil works, equipment and machinery as well as general infrastructure at the factory.
Objectives
The project will increase the factory production capacity. It will contribute to increasing FDI in Serbia, developing the local automotive industry, supporting the introduction of state-of-the-art equipment and production organisation, and finally contributing to the increase of exports and Serbia’s economic development.
Sector(s)
Proposed EIB finance (Approximate amount)
EUR 500 million
Total cost (Approximate amount)
EUR 1 086 million
Environmental aspects
The project is expected to follow the appropriate EU environmental and social principles, standards and practices, in accordance with local legislation. The Bank’s services will, however, clarify the possible need for an EIA and any other environmental issues during the appraisal.
Procurement
Procurement is expected to be in line with EIB guidelines for private sector projects. The Bank’s services will verify details during the project’s due diligence.
Status
Signed - 16/05/2011
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).