European Creditors Warned BiH Authorities: No New Tranches for Corridor Vc Until Autoceste Federacije Management is Replaced

(Patria) - Representatives of the European Investment Bank (EIB), the European Bank for Reconstruction and Development (EBRD), and the Western Balkans Investment Framework (WBIF) held an emergency meeting today with representatives of federal and state authorities regarding the construction of Corridor Vc and the situation at JP Autoceste FBiH.

As Istraga.ba has learned, international creditors clearly told BiH officials at the meeting that there will be no new disbursements of loan tranches for the construction of Corridor Vc from European funds until the current management of Autoceste FBiH, led by General Director Denis Lasić and Executive Director Asmir Dževlan, is replaced.

The meeting was attended, among others, by the Federal Minister of Transport and Communications Andrijana Katić, who informed the delegation of European financial institutions that the Ministry has not received any official notification from Prime Minister Nermin Nikšić regarding the request to dismiss the management of Autoceste.

Let us remind you, the EIB and EBRD suspended the disbursement of loan tranches for the construction of Corridor Vc after the European Public Prosecutor's Office (EPPO) launched an investigation against the management of Autoceste Federacije on suspicion of corruption and non-transparent spending of money from European funds.

Following this, due to accumulated debts and the inability to pay contractors, work on certain sections of Corridor Vc has been suspended for a long time.

As Istraga previously reported, the Turkish company Cengiz officially notified the management of Autoceste on March 21st of this year that it was suspending all work on the construction of the highway on Corridor Vc, section Medakovo-Poprikuše, subsection Medakovo-Ozimice.

"Despite the contractor's cooperation and two postponements, the investor has not made the due payments to date. Without making the aforementioned payments, the contractor is unable to continue carrying out the works.

Accordingly, the contractor hereby notifies that the suspension takes effect on March 21, 2026. The contractor will secure, protect, and safeguard the works.

The contractor invites the engineer to provide any specific instructions regarding securing, protecting, or temporary measures.

All rights and claims of the contractor under the contract and law are strictly reserved, including: late interest pursuant to Sub-clause 14.8; extension of time; compensation for costs and consequences arising from the suspension, and all other contractual and legal rights," the letter from the representative of the contractor Cengiz to Lasić, Dževlan, and company representative Alem Kovačević states.

Despite the announcements by the Federal Prime Minister Nermin Nikšić that the debts to contractors would be paid and that construction would continue, this has not yet happened.

At today's meeting with representatives of the federal and state authorities, the delegation of the EIB, EBRD, and WBIF once again warned that there would be no new payments and grants until the management of Autoceste is replaced.

Meanwhile, according to Istraga's information, due to delays in project implementation and late payments to contractors, enormous costs have been incurred by the state in the form of contractual penalties, late interest, and fees for unactivated credit funds, amounting to approximately 90,000 euros per day.

The Prime Minister of the Federation of Bosnia and Herzegovina, Nermin Nikšić, who did not attend today's meeting with international creditors, stated at the beginning of March that international financial institutions have no right to demand the dismissal of the management of Autoceste.

"Neither they can, nor do they have the right to demand dismissals. They can ask us to review the situation, but to dismiss someone, you need evidence. Otherwise, you enter into processes where people sue you.

I have no intention of taking responsibility for anyone because I did something that is not in accordance with the law for someone's whim or to save someone from international financial institutions or previous managements," Nikšić said at the time.