Bill on Confirming the Agreement on the Loan for the Project of the Construction of the Ring Road Around Novi Sad with the Bridge on the Danube Adopted – Borrowing of EUR 149,175,000

At its most recent session, the Government of Serbia adopted the Bill on Confirming the Agreement on the Loan for the Project of the Construction of the Ring Road Around Novi Sad with the Bridge on the Danube. This document envisages the borrowing of the Republic of Serbia from the Chinese Export-Import Bank. As said in the explanation, the Budget Law of the Republic of Serbia for 2022 and 2023 approves the borrowing of the Republic of Serbia from Chinese banks in the amount of up to EUR 149,175,000 for the financing of 85% of the value of the Project of the Construction of the Ring Road Around Novi Sad with the Construction of the Bridge on the Danube and access traffic routes, whereas the remaining 15% is to be secured from the budget of the Republic of Serbia. The maturity date of the loan is 15 years, including a five-year grace period.

– The accepted agreed amount for the services and works is EUR 175,500,000 and encompasses the profit of the contractor, as well as the costs of the preparation of the technical and planning documentation, construction site organization, preparatory works, accompanying materials and equipment, insurance and all other dependent, direct and indirect costs of the contractor – it is said in the explanation of the adoption of this law.

As reminded, the Memorandum of Understanding on the preparation of planning and technical documentation for the Project of the Construction of the Ring Road Around Novi Sad with access routes and the bridge on the Danube was signed on April 14, 2021, between Serbia, China Road and Bridge Corporation and the company “Koridori Srbije” d.o.o. Beograd. On March 19, 2022, the Commercial Agreement on the design and works was signed between Serbia, represented by the Government as the financier, “Koridori Srbije” as the investor and China Road and Bridge Corporation as the contractor.

D. A.

Vlada Republike Srbije

Koridori Srbije d.o.o. Beograd

Grad Novi Sad

Grad Šabac

Opština Ruma

Opština Kosjerić

Opština Arilje

Opština Požega

Opština Ivanjica

Opština Sjenica

Opštinska uprava Koceljeva

Opština Irig

China Road and Bridge Corporation Serbia ogranak Beograd

Chinese Export Import Bank

China Road and Bridge Corporation

loan

credit

borrowing

ring road around Novi Sad

bridge on the Danube in Novi Sad

planning documentation

construction sites

equipment