Bosnia and Herzegovina

Project number:


Business sector:

Information and Communication Technologies

Notice type:


Environmental category:


Approval date:

28 Apr 1998



PSD disclosed:

06 Feb 1998

Project Description

Reconstruction project funded by sovereign loan and grant donor funds. The project will also prepare the way for sector restructuring and eventual privatisation.
The project aims to:
  • re-establish access to telecommunications services in areas damaged by the war;
  • create a legal and regulatory framework to support the normal integration and operation of the telecommunications sector and to encourage private investment; and
  • strengthen the management and performance of the loan beneficiaries.

Transition Impact

A strong component of the project is to develop the basic telecommunications legal and regulatory framework in Bosnia and Herzegovina, which will encourage further investments in the region.

The Client

The borrower will be Bosnia and Herzegovina (BH), which will on-lend the proceeds of the loan to the Federation of Bosnia and Herzegovina (FBH) and Republika Srpska (RS). The "beneficiaries" are the three local telecommunications operators (PTT BiH, HPT Mostar and Telekom Srpske), which operate domestic and international telephone communications.

EBRD Finance

The Bank will provide US$ 20 million (ECU 18 million) in the form of a state loan, with full sovereign guarantee. US$ 21 million (ECU 19 million) will be co-financed by grants from foreign donors (Japan, Italy, Netherlands, Switzerland and Norway).

Project Cost

US$ 51.8 million (ECU 46 million).

Environmental Impact

The project has been classified B/0, requiring an Environmental Analysis. There are unlikely to be any significant issues associated with the project. However, due to the potential environmental impact in connection with past damage as a result of the war, construction activities and the replacement of old equipment, an Environmental Analysis is required and is being carried out. If any environmental issues arise, appropriate environmental mitigation measures will be developed.

Technical Cooperation

An 18-month technical assistance package, including three major assignments totalling about ECU 1.15 million, will help to finalise and implement the project.

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

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