Bosnia and Herzegovina gets EIB and EU funding to improve clean water supply and flood protection
- December 23, 2019
- Posted by: administrator
- Category: Investment and Finance, Europe
The European Investment Bank (EIB) and the European Union will support three new projects in Bosnia and Herzegovina by providing EUR 68 million to improve the water supply, wastewater and storm-water management infrastructure, enhance flood protection in the Sava river basin, and support construction of a twin-tunnel on the Zenica North section of the Pan-European Corridor Vc.
With a EUR 30 million loan for construction and improvements to the water supply, wastewater and storm-water networks, the EIB will open up access to drinking water for up to 147 000 citizens in Bosnia and Herzegovina and improve sanitation services to some 70 000 people.
To complement the loan, the EU bank will also provide EUR 1.2 million worth of technical assistance to design projects, prepare tender documentation and manage procurement processes. Funding for technical assistance comes from the Economic Resilience Initiative (ERI), an EIB initiative to support resilient and inclusive growth in the EU’s Southern Neighbourhood and the Western Balkans.
Protecting Bosnia and Herzegovina from floods
The European Investment Bank will also invest EUR 19 million to increase flood protection along the Sava River and its basin in Republika Srpska by constructing dykes and channels and rehabilitating riverbeds.
The EIB-funded flood protection improvements will help avoid future loss of life and damage to property from recurring floods, and create a safer environment in this part of the country. This investment is also funded from the EIB’s Economic Resilience Initiative.
Head of Division for EIB Lending Operations in Croatia, Slovenia and Western Balkans Matteo Rivellini said:
“EIB investments will continue to support modern highways, flood protection and the clean water supply for Bosnia and Herzegovina. To date, more than EUR 516 million of EIB loans to support the realization of the 318 km Pan-European Corridor Vc in Bosnia and Herzegovina have been signed.
The EU, on its side, has provided more than EUR 200 million in grants through numerous projects. Those projects are the result of a long and productive collaboration with all our counterparts in Bosnia and Herzegovina. “
The European Union will also complement a €50 million from the European Investment Bank, signed in 2018, with a grant of up to €19 million for development of the Zenica North section of the pan-European Corridor Vc. The section contains a twin-tunnel, due to be completed by the end of 2022.
EIB Vice-President Dario Scannapieco said:
“The EIB is particularly proud of our continuing support and our commitment to the economic and social development of Bosnia and Herzegovina and the Western Balkans. The three investments we signed today, worth EUR 68 million in total, blend funds from different sources – the EIB, the EU and the EIB’s ERI – to improve vital road and water management infrastructure across the country.”
To date, the EIB has invested EUR 191.1 million in water and sewerage projects in Bosnia and Herzegovina including water and sanitation infrastructure development and emergency flood management and EUR 1.2 billion in transport projects.