The EIB and EBRD-financed construction of a major motorway in Bosnia and Herzegovina will encourage trade and attract investors. Repairing the country's damaged road infrastructure will strengthen Bosnia and Herzegovina's links to the surrounding region.
The Trans-European Corridor Vc is the backbone of Bosnia and Herzegovina’s (BiH) road network. Running 335 km through the centre of the country, the Corridor links BiH to Hungary and Croatia.
BiH’s road infrastructure was badly damaged during the Bosnian war (1992-95) and fell into further disrepair as many experienced road workers fled the country.
Since then the EBRD has invested more than €270 million to improve BiH’s roads – €23 million for post-war emergency road repair in 1996, €70 million for the construction of a key regional road network in 2004 and €75 million for road maintenance and rehabilitation of a main primary road network in 2007. Further funds came in 2008 from an EBRD loan of €180 million to finance key sections of Corridor Vc.
Construction is expected to finish by mid-2013. Once finalised, Corridor Vc will connect BiH to regional traffic networks and will spur trade and development, making the country and the region more attractive for investors.
The bigger picture
The EBRD finance is part of a €480 million investment in the priority motorway sections of the Corridor, financed together with the European Investment Bank. The priority sections comprise a 15.2 km section from Drivusa to Kakanj, 18.9 km from Vlakovo to Tarcin, 21.4 km from Pocitelj to the southern border of Croatia and 10.9 km from Odzak to the northern border with Croatia.