Public-private partnership for second phase of construction of Montenegro highway

Smokovac Brigde) At the moment, Montenegro has completed 89% of the construction works on the priority Smokovac-Matesevo highway section, the Government of Montenegro announced on the Thursday session when it confirmed the information on project activity.

– Along with the works on the priority section, we are increasing activity in creating conditions to begin the construction of the next two sections (Matesevo-Andrijevica and Tolosi-Farmaci) which the Detailed spatial plan for Bar – Boljare highway defines as the second phase of the project. Having in mind the current debt levels of the country and the recommendations specified in key programme documents, we plan to realize the construction of the following highway section through one of modalities of public-private partnership in order to reduce additional debts. We are yet to determine the optimal conditions and methods of realizations, the Government announced.

Accordingly, The Ministry of Transport and Maritime Affairs applied to the Western Balkans Investment Framework for a EUR 54.6 million grant for co-financing the construction of Matesevo-Andrejevica section back in November 2018, which makes up 20% out of the estimated capital expense the total amount of EUR 273 (estimate based on conceptual solution).

– The plan is to secure additional 20% through the EBRD loan and the remaining 60% of the total amount will be acquired from interested private partners, the statement concludes.

Western Balkans Investment Framework

Bar Boljare highway

Smokovac Matesevo section

Matesevo Andrijevica section

Smokovac Tološi Farmaci section

construction of highway

highway through Montenegro