Republika Srpska Motorways is set to receive a €70m loan from the European Bank for Reconstruction and Development (EBRD) to expand the Corridor Vc motorway network in Bosnia and Herzegovina to strengthen road connectivity with the European Union (EU).

The EU is also expected to co-finance the project by providing an investment grant of €15.3m through the Western Balkans Investment Framework.

The loan will be used to finance a new section of the key Corridor Vc motorway, the main international transport corridor in Bosnia and Herzegovina.

It will also be used to build two motorway interchanges, a 6km motorway section between the two interchanges, and a connecting road between Johovac and Rudanka.

It includes the construction of a crossing of the River Bosna to link the new section of the motorway to the existing trunk road.

“This new investment will contribute to the integration of Bosnia and Herzegovina with the Western Balkans and European markets.”

EBRD Transport director Sue Barrett said: “This new investment will contribute to the integration of Bosnia and Herzegovina with the Western Balkans and European markets.

“It builds on previous projects under which already 100km of modern motorway have been built and supports the development of the country through integration and connectivity.”

Corridor Vc motorway is a part of the Western Balkans Core Network and has been established as an extension of the Trans-European Transport Networks.

It will eventually connect Budapest in Hungary with the Croatian port of Ploče.