ROAD REHABILITATION AND CITY BYPASS

Promoter – Financial Intermediary

MONTENEGRO

Location

• Montenegro

Description

Rehabilitation of main and secondary roads and construction of city bypasses

Objectives

The project is expected to promote economic growth, facilitate trade, support private sector development and ultimately contribute to economic and social cohesion in the region. The project is therefore eligible under the Mandate of the Pre-Accession countries. It is estimated that some 54 km of roads will be constructed or upgraded and a 2.5km tunnel will be built.

Comments

This operation is covered by the EU Guarantee for EIB loans outside the EU.

Sector(s)

• Transport

Proposed EIB finance (Approximate amount)

EUR 30 million

Total cost (Approximate amount)

EUR 66 million

Environmental aspects

The individual components of the project are investments of small and medium size that are likely to have reduced environmental and social impacts. If situated in the EU, these schemes would likely fall under Annex II of EIA Directive 2011/92/EU and therefore be subject to screening. Appropriate screening procedures, also in relation to natural habitats and protected species, as well as land acquisition/resettlement will be put in place in collaboration with the other co-financing potential partners. An appropriate Resettlement Policy Framework will be developed to address potential physical or economic displacement.

Procurement

The Bank will require the Promoter to ensure that any procurement procedures are done in accordance with the Bank’s Guide to Procurement and the relevant applicable EU public procurement rules.

Status

Signed - 27/06/2014