Chinese companies to build two highways in Serbia

A contract for construction of two highways in Serbia, whose total length will be around 140 km and cost EUR 642 million to build, has been signed.

Source: Tanjug

The contract was signed on Friday by Serbian Minister of Regional Development and Local Self-Government Verica Kalanović and representatives of the China Road and Bridge Corporation (CRBC).

This is the preliminary contract on construction of the Morava corridor in central Serbia, a 6-lane highway from Pojate to Preljina, 109.6 km long, where works could start in early spring, and construction of a 4-lane highway from Novi Sad to Ruma, 27 km long including the construction of a tunnel through Mt. Fruška Gora.

Projects for the Novi Sad-Ruma highway in northern Serbia are yet to be completed, and will be finished in 2013, Kalanović said.

The works will be financed by the China Exim Bank under very favorable conditions - payment period of 20 years, grace period of five years, and a maximum interest rate of 2.5 percent.

Kalanović said that the timeframe for the construction of the Morava corridor is 4 years, and for the Novi Sad-Ruma highway 30 months. It has been envisaged that the Serbian firms will have a 45 percent share in realization of the projects, and the average cost per kilometer will be EUR 4.72 million.

The CRBC is already building a bridge over the Danube River in Belgrade, between the municipality of Zemun and the Borča neighborhood.

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