(Reuters) -Montenegro has secured 350 million euros from the European Bank for Reconstruction and Development and the European Union to enhance transport connectivity within the Balkan country and
Montenegro Secures €350 Million for Transport Infrastructure Development
(Reuters) -Montenegro has secured 350 million euros from the European Bank for Reconstruction and Development and the European Union to enhance transport connectivity within the Balkan country and with the wider region, the EBRD said in a statement on Thursday.
The EBRD will provide a loan of up to 200 million euros to finance the construction of the Matesevo–Andrijevica section of the highway connecting the Adriatic port of Bar with the Serbian border, while the EU will contribute two investment grants totalling 150 million euros.
Johann Sattler, the EU ambassador to Montenegro, said the grants represented the bloc's clear message of support towards Montenegro’s efforts on its path to EU integration.
The 22-km long stretch of highway passes through challenging terrain, and will connect Montenegro's underdeveloped north with the more economically active centre and south.
The EU has already provided a 4.7 million euro grant for a feasibility study for the Bar-Boljare highway under the Western Balkans Investment Framework. The project constitutes an integral part of the Trans-European Transport Networks.
"Modern and reliable transport infrastructure is essential for Montenegro’s economic development, especially in boosting tourism, trade, and regional integration," said Matteo Colangeli, EBRD Regional Director for Western Balkans.
The EU's Sattler added that the bloc had provided more than 350 million euros in grants for transport projects in Montenegro in recent years.
The EU launched accession talks with Montenegro in 2012 and since then 33 out of a total 35 chapters of negotiations - areas in which the candidate needs to emulate EU laws - have been opened and three provisionally completed.
(Reporting by Daria Sito-Sucic; Editing by Kirsten Donovan)
