Bosnia-Herzegovina’s Federal Government indebts for 20 Million Euros


Bosnia-Herzegovina’s Federal Government has confirmed acceptance of a loan from the European Bank for Reconstruction and Development (EBRD) for the implementation of the Public Transport Sarajevo – Part 2 Project, in the amount of 20 million euros.

The government stated the funds will be used to finance the development of public transport infrastructure in Sarajevo Canton, through the improvement of clean public transport and capacity, as well as the efficiency of public transport services through the rehabilitation of the 19.5-kilometer two-lane tram line.  In this way, through the promotion of the use of public transport, priority issues of environmental protection related to air quality would be solved.

Loan funds are granted to the Federation of BiH, with a repayment period of 13 years and a grace period of two years, the Federal Government Office for Public Relations stated in the press release.

In October, at 42nd regular session held on Thursday government of Canton Sarajevo approved the capital project for the construction of the Ilidza – Hrasnica tram line, for which the estimated amount of 46 million BAM should be secured. The project is in line with CS Development Strategy until 2020 and included in the draft CS Public Investment Program for period 2020 – 2022.

“The project is highly prepared. Complete project documentation was prepared and almost all cases of property-legal relations were solved. We expect that they could have a building permit to perform the works in the short term,”Transport Minister Adnan Steta said in the explanation.

Earlier it was stated that the works on the construction of a tram railroad will enable the traffic on the route Ilidza-Hrasnica in the autumn of next year, as stated by Mayor of Ilidza, Senaid Memic.

It is a project that originates from 1997 and the tram railroad will be built from Famos in Hrasnica.

Works on this project were intensified this summer. It will be a two-traffic tram lane, a six meters wide pedestrian and bicycle trail and an 8.5 meters wide tram line. The length of the tram railroad will be 1,160 meters.

The idea for extending the tram traffic towards Hrasnica originates from before the war, and a poll was conducted among the citizens of settlements in the Municipality of Ilidza about the need to introduce this type of public transport, which is environmentally friendly.

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