Proposed project for the rehabilitation of priority road links throughout Serbia, including Corridor X, together with various measures aimed at restructuring the sector. The overall objective of this project is to clear the backlog in road maintenance, through a major programme of road rehabilitation and to provide assistance with the restructuring of the roads sector. The proceeds of the loan will be used to finance a programme of road rehabilitation.
The Project will contribute to the transition process by:
Ensuring access to markets through a programme of rehabilitation of the main road network;
Ensuring a sustainable flow of funds to the roads sector to meet annual road maintenance needs;
Establishing effective methods and tools for road sector planning; and
Supporting a new Roads Law.
The Roads Directorate in the Republic of Serbia: a State-owned organisation, responsible for the execution of the roads programme.
The EBRD will provide a sovereign loan of €76 million. Parallel financing is being provided by the European Investment Bank (EIB) in an amount of €95 million. The Roads Directorate will contribute €25.4 million. Technical co-operation funds are also being provided (see below).
The project was screened B/0 and an environmental analysis, including a site visit by an environmental specialist from the Bank, was undertaken. The analysis revealed that there are no significant environmental issues associated with the operation. Limited noise, worker safety, dust/air quality issues may arise during construction and mitigation measures to address these impacts will be included in tender documents. Road accidents in Serbia are considerably higher than EU countries and the rehabilitation programme will lead to improved safety on the road network. The project will meet relevant EU and national environmental requirements. The project requires an environmental specialist to be appointed to the Roads Directorate.
The European Agency for Reconstruction (EAR) will finance support for project implementation, in an amount of €1 million. The United States Trade and Development Agency (USTDA) will provide assistance with Road Planning in an amount of €0.5 million.
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