KS Government to Enter Negotiations for Loan to Build Railway to Hrasnica and Procure Trams

(Patria) - The Government of Sarajevo Canton is entering negotiations with the European Bank for Reconstruction and Development to secure loan funds for the implementation of projects including the construction of the Ilidža - Hrasnica tram line, renewal of the tram fleet, and the "Adaptive Traffic Management" project.

Ministers of Finance and Transport of KS, Davor Čičić and Adnan Šteta, have been appointed to the negotiation team with the EBRD.

"The KS Government is not afraid to incur debt for such important public transport projects, as we have stated many times. These are capital projects included in the Public Investment Program for the period 2021 - 2023, and their realization partly involves securing loan funds in the amount of approximately 37 million EUR. The projects are aligned with the strategic goals of the Government and the Ministry of Transport, which is to implement them," stated Minister Čičić.

For the implementation of the "Adaptive Traffic Management" project, a loan of seven million euros is planned, which involves establishing a more efficient traffic management system compared to the standard one.

The project includes the procurement of state-of-the-art sensor equipment, such as radar detectors, which will capture a complete traffic picture of the city in real-time, providing detailed information essential for future traffic infrastructure planning.

"The purpose is to procure a modern traffic management and monitoring system that includes components of an intelligent traffic management system with public transport priorities, a video surveillance system, and video incident detection based on the latest technologies. The project also includes the creation of a management center where the situation on the roads can be monitored at all times, and appropriate measures can be taken to resolve traffic jams at certain intersections, as well as to resolve incident situations," stated Minister Šteta, among other things. He specified that for the realization of the "Construction of the Ilidža-Hrasnica Tram Line" project, a loan of 20 million KM is planned.

For the procurement of new trams, the Canton will take out a loan of 10 million EUR.

"This is about procuring additional trams, considering that a contract for the delivery of 15 trams is expected to be signed soon, for which the Government had previously concluded a loan agreement in the amount of 30 million KM with the EBRD," said Minister Šteta.