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Project: Pan-European Transport Corridor VIII: Albania-FYR Macedonia-Bulgaria
Date: 2008-07-24
New road around Skopje, Macedonia opened
New road, completed with EBRD €40 million loan, will ease congestion

London, United Kingdom - The western side of an 11km section of the Skopje bypass, whose construction was co-funded by the EBRD and the EIB, has opened for traffic today.

The EBRD provided a €40 million loan in 2003, which was used to complete the second phase of the road circling the capital of FYR Macedonia, which will smooth traffic flows, cut journey times and reduce pollution levels in the capital.

Presently, international transit traffic passes through Skopje where insufficient road capacity results in frequent traffic jams. Following the construction of this section of the road, vehicles using the bypass should significantly ease the burden in the city and reduce pollution levels.

The Skopje bypass is part of Corridor VIII, which connects the Adriatic and Black seas. The Corridor is one of the two key Pan-European transport corridors that cross the country and intersect at Skopje, forming part of the Trans-European Network.

The western section starts from Suto Orizari, to the north of Skopje, and finishes at Kondovo, to the west of the capital, where it connects to the Skopje-Tetovo highway.

An environmental action plan, which included mitigation measures, was monitored and fully implemented as a result of the cooperation between members of EMAG, a monitoring body which grouped together communities along the Bypass, environmental NGOs and government agencies.

This monitoring body was the first of its kind to be established in the Western Balkans and it demonstrates how such complex projects can be implemented successfully by bringing interested parties together, said Sue Barrett, EBRD Director for Transport, who acknowledged the importance of the EMAG to the successful conclusion of this Project.

The project also supported the development of an institutional plan for road-sector reform, including road maintenance, in FYR Macedonia. This plan includes selection of priority areas that require upgrading and helped increase competition for road-sector maintenance, previously left to one company.

Claudio Viezzoli, EBRD Director for the Western Balkans, said at the opening ceremony in Skopje that the project demonstrates the Bank’s commitment to help upgrade important segments of the road infrastructure in FYR Macedonia and the Western Balkans. Projects like these are key for regional integration, especially given the importance of trade and tourism for spurring economic growth, he added.

Project preparation was assisted with €0.5 million grant funding from France, UK and Taiwan. Technical assistance of €0.5 million was provided by France, the Central European Initiative, and USAID to help in the preparation of an institutional strategy, which will form the basis of the government’s reform programme for the roads sector, as well as to successfully implement the Skopje bypass environmental component.

Active in FYR Macedonia since 1993, EBRD investments to-date amount to more than €415 million and the Bank has helped generate a further €566 million from its partners. The majority of investments are in sectors including power and energy, general industries, financial institutions and the private sector.

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