Belgrade, 11/07/2001 (Agence Europe) - Deputy Prime Minister of the Federal Republic of Yugoslavia, Mr Labus, and the Vice-President of the European Investment Bank, Mr Novotny, signed, on 10 July in Belgrade, framework agreements establishing the legal conditions in which the EIB may soon finance projects in FRY.
The Bank is planning to grant a loan, of up to EUR 150-200 million, for investment in the transport sector (roads, railway, inland navigation and air). It has been working towards this in close contact with the Yugoslav authorities since October 2000; an EIB press statement reads, noting that the preparations may be concluded as soon as the current mandate for EIB financing for the countries of Central and Eastern Europe are extended to the FRY. This requires approval from the Union, notes the press release.
The framework agreements signed in Belgrade establish the legal structure allowing for the gradual settlement of financial obligations (EUR 225 million) that Yugoslavia had contracted earlier towards the EIB concerning projects located on its territory, stresses the press release. It recalls that the EIB has closely followed the democratic changes that have taken place in the FRY recently. The Bank proceeded to a preliminary assessment of the most urgent basic infrastructure needs in transport, not only in Serbia but also in Montenegro. It identified several projects for an estimated cost of around EUR 450 million, that could be implemented immediately.
The EIB recalls that, during the 1997-1990 period, its financial aid throughout the whole of former Yugoslavia reached EUR 760 million, including 680 million essentially intended for the trans-Yugoslav motorway and railway (and with the neighbouring countries Austria, Italy and Greece), and 92 million to projects concerning the electricity network (including trade with the Greek and Italian networks).