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    EUR 80 million-loan for new bridge and removal of old one

    Serbia is taking a loan of almost 80 million euros for the removal of the Old Sava Bridge in Belgrade and the construction of a new steel arch bridge over the Sava River, as stipulated in the Bill on the Confirmation of the Loan Agreement that will be discussed by the MPs.

    The Government of Serbia concluded a loan agreement up to the amount of EUR 79,916,833.43 with the BNP Paribas Group. The loan is secured with the Chinese Export-Import Finance Corporation.

    The interest rate at which Serbia is borrowing the money is Euribor+ a margin of 1.05 percent. The loan agreement was concluded, according to the Bill, on November 30, 2021.

    The price of the entire business deal is 94 million euros, which is the amount that will be paid to the contractor – the company PowerChina International Group Limited based in Beijing. The loan is planned to finance a maximum of 85 percent of the value of the works.

    „The borrower will use all the amounts borrowed under the loan arrangement for the financing of up to 85 percent of the agreed price,“ the Bill specifies.

    In addition to former deputy mayor of Belgrade and current minister of construction, transport and infrastructure, Goran Vesic, mayor of Belgrade, Aleksandar Sapic, is also advocating for the removal of the Old Sava Bridge, and he announced its relocation even before the elections.

    In May this year, it was announced that „by the end of this year or the beginning of next year“ a new Sava bridge will be built on the site of the Old Bridge.

    At that time, it was announced that the new bridge, unlike the existing one, which has two traffic lanes, would have four traffic lanes and two tramway tracks.

    In addition, the bridge should have, as Goran Vesic announced at the time – bicycle tracks and wide sidewalks.

    Izvor: N1

    Foto: Beta, Beoinfo

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