Mayor: EBRD loan conditions unacceptable

Belgrade Mayor Dragan Đilas said that the Belgrade might not take a loan from the EBRD for the reconstruction of the Gazela Bridge.

Izvor: B92

Tuesday, 02.02.2010.

13:53

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Belgrade Mayor Dragan Djilas said that the Belgrade might not take a loan from the EBRD for the reconstruction of the Gazela Bridge. He said that the European Bank for Reconstruction and Development (EBRD) must change its condition related to the dislocation of a makeshift Roma community from under the bridge, in order for Belgrade to agree to the loan conditions. Mayor: EBRD loan conditions unacceptable Djilas told B92 that a clause in on the dislocation of the settlement, that calls for apartments for the Roma to be built, was accepted without much consideration, and added that the construction of those apartments would cost EUR 5mn. “This is not a donation, but an economic loan, and if these are the conditions, we will not take it,” Djilas said, adding that this was not acceptable for the city, since the EUR 33mn loan would have an interest rate of 25 percent, rather than five, attached to it. He said that the Roma that were moved out of the unhygienic communities under the bridge are now living under significantly better conditions and will be able to compete for getting new apartments through social services. Djilas said that it was suggested to the EBRD that conditions of the loan be considered by March 15, and that a meeting should be held next week with officials of this financial institution, adding that a decision on the loan “could come earlier than expected”. “If no agreement is reached, we will take out the loan from commercial banks,” Djilas said, adding that the city of Belgrade wants to be the main carrier of the Gazela project if it ends up co-financing it, so that there would be no delays in the restoration of the bridge. Dragan Djilas (Tanjug)

Mayor: EBRD loan conditions unacceptable

Đilas told B92 that a clause in on the dislocation of the settlement, that calls for apartments for the Roma to be built, was accepted without much consideration, and added that the construction of those apartments would cost EUR 5mn.

“This is not a donation, but an economic loan, and if these are the conditions, we will not take it,” Đilas said, adding that this was not acceptable for the city, since the EUR 33mn loan would have an interest rate of 25 percent, rather than five, attached to it.

He said that the Roma that were moved out of the unhygienic communities under the bridge are now living under significantly better conditions and will be able to compete for getting new apartments through social services.

Đilas said that it was suggested to the EBRD that conditions of the loan be considered by March 15, and that a meeting should be held next week with officials of this financial institution, adding that a decision on the loan “could come earlier than expected”.

“If no agreement is reached, we will take out the loan from commercial banks,” Đilas said, adding that the city of Belgrade wants to be the main carrier of the Gazela project if it ends up co-financing it, so that there would be no delays in the restoration of the bridge.

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