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The Government of the Republic of Serbia

In the service of citizens

Funds for completing contracted works on Belgrade ring-road to be provided from budget

Belgrade, 14 July 2006

Director of the Serbian Road Directorate Branko Jocic said today that funds for completing contracted works on the Belgrade ring-road, worth 112 million dinars, will be provided from the budget.

Addressing a press conference, Jocic said that the completion of these works will allow the signing of a loan agreement worth €276 million with the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD) for completing the entire construction.

According to Jocic, special attention will be given this year to bridges which are in bad condition and require urgent repair and reconstruction.

He said that first of all reconstruction will be carried out on the Gazela bridge, Pancevo bridge, and Zezelj bridge in Novi Sad, while it is expected that in September a tender will be announced for a builder to repair 60 bridges, which will be financed with a loan provided by the EIB.

Jocic stressed that funds are also continually being invested in renewal and reconstruction of highways and renovation of road-tall payment terminals. He added that all the proceeds from the tax are used to reconstruct roads.

He recalled that last year 15% of roads were renovated, and added that works at the beginning of the year were slowed by landslides and floods, but have been intensified so that as much work as possible is done by the end of the year.

Assistant Director at the Serbian Road Directorate Slavoljub Tubic said that the construction of the new bridge on the Danube near Beska and the highway zone near Novi Sad has been assigned to Austrian construction firm “Alpine Mayreder” and the German firm “DSD”.

Tubic said that funds for realisation of these two projects, of which each one is worth 3.5 billion dinars, have been secured from a loan by the EIB and the EBRD.

He said that these are the largest contracts that have been realised in the past 15 years, and announced that works will begin on these locations in September.