EIB to grant two loans worth 75.4m EUR to Serbia

- The Government of Serbia and European Investment Bank (EIB) signed the contracts today (June 12, 2009) on two loans worth 74.5m EUR - the Ministry of Finance of Serbia announced.

The first loan, amounting to 24.5m EUR, is intended for public company "Elektromreže Srbije", while the other loan, amounting to 50m EUR, will be used for financing of construction of municipal and regional infrastructure.

The repayment period for loans is 20 years, including the grace period of five years.

The loan contracts were signed by Diana Dragutinović, the Minister of Finance of Serbia, and Dominik Kurben, the Director of EIB's sector for loans for southeast Europe.

The contract for financing "Elektromreže Srbije" anticipates that EIB approves the loan of 24.5m EUR to that company for the project for improvement of electric grid, which includes the works on construction or reconstruction of power supply facilities.

Total value of the project is 50.7m EUR, 26.2m of which will be provided by "Elektromreže".

EIB's loan of 50m EUR for municipal and regional infrastructure is intended for the National Investment Plan's projects focused on road infrastructure, education, government administration and preservation of cultural-historical heritage.