Business

Bosnia and Herzegovina nears completion of main transport corridor

Cernavoda Romania - June 20 2012: Construction works at the A2 highway connecting Romania's capital Bucharest to Constanta.

The European Bank for Reconstruction and Development (EBRD) is financing a new section of Bosnia and Herzegovina’s main transport corridor, with a loan of up to 70 million euros, while the European Union is providing an investment grant of up to 15 million euros.

Corridor Vc between Johovac and Rudanka will support economic development and contribute to regional integration by improving connectivity within the country and integration with neighbouring countries.

“We are pleased to sign this agreement today which illustrates the good progress that is being made with the construction of Corridor Vc,” said Ian Brown, EBRD head of Bosnia and Herzegovina. “We are confident that establishing better links within the country and connecting it better with Europe will serve the cause of deeper integration, and not only economically.”

The new road will improve travel conditions, reduce congestion, provide local employment during the construction phase and improve road safety.

“Such agreements help boost local companies, create new jobs and eventually enable us to move towards the EU in terms of transport links,” Vjekoslav Bevanda, Bosnia’s minister of finance added. “As a result, we will have new motorways, bridges and faster links with the rest of the world, and all this will result in further economic growth.”